Re: Re: Re: Implications of Surplus Tax Cut?

[Doug Henwood]

Jim Devine wrote:

>The fact that both of these are regressive doesn't automatically 
>make them anti- or un-Keynesian, since the US 1964 tax cut was also 
>regressive, as were the various investment tax credits that have 
>been promoted by self-styled Keynesians.

Why are ITCs un-Keynesian? JMK himself was interested in stimulating 
investment, and presumably raising the after-tax return of capital 
expenditures should encourage investment. (Whether it actually does 
or not is another issue.)

Doug