Macroeconomic And Microeconomic Aspects Of Tax Policy

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Introduction Tax policy is a major issue in today’s society that affects the changes of economic growth that is being portray. Tax policy is the choice by a government as to what taxes to excise, the amount, and on whom. It has a macroeconomic and microeconomic aspects of tax policy, the macroeconomic has an overall concern of taxes to collect, which affects the level of economic activity; this is called the fiscal policy. The microeconomic concerns the issues of fairness and a preferences of the consumer from the amounts of various types of economic activity. Due to tax policy is a big issue that has been affecting the economy in several of ways.
President’s history of tax policy Around 1980, Ronald Reagan had ran for president, he blamed the nation’s economic ills on bill government and oppressive taxes (Michael2011). Ronald Reagan talks about how the economic growth was to gradually reduce taxes by 30% over the first three years, focusing more the higher brackets. This process is known as “supply- side” or “trickle- down” economic, the media call this process “Reagonomics (Michael 2011).” The upper income taxpayers would spend …show more content…

It will take time and a lot of research to figure out what is the meaning for tax policy. The tax policy is not fair in a sense and this system makes people in the society not aware of what is taking place. There are many unemployed people who cannot find jobs due to the increases of taxes, no one can afford to pay it. The people who has jobs are struggling as well because their checks are being cut due to taxes. So overall this a problem that needs to be resolve so people can have better opportunities and people will be able to afford it as well. A quote from Ricky Perry says “I think you need to have a tax system that is basically is flat, fair, and simple. And – that you can put on a post card. I mean, even Timothy Geithner could do this one and get it on

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