Approving and Improving the Kudlow, Moore, Laffer and Forbes Tax Proposal

Kudos for the Kudlow, Moore, Laffer and Forbes “Three Easy Pieces” tax proposal. However, the depreciation change is unnecessary and unrealistic and the tax rate is probably better at 20% or even 22%. I suggest a 4th piece, namely a 100% tax credit for the 1st year of all wage increases except for increases to the top 20%. Otherwise expect most of the earnings growth from tax savings to go to dividend increases, stock redemptions and increased compensation for executives as has been the main use of earnings growth in recent years.

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