Who is Most Responsible for the Reagan Tax Cuts?
Quick: Who is most responsible for the Reagan tax cuts?
Donald Regan, Secretary of the Treasury during Reagan’s administration?
Nah, the real force behind the Economic Recovery Act of 1981 was Jodie Foster, according to Robert Mundell, Columbia University’s Nobel laureate economist.
The Financial Times reports that Mundell cites the Oscar winning actress as most responsible for the sweeping tax cuts of 1981. How so? It’s tricky so follow me on this one…
Jodie Foster starred in Taxi Driver. In that movie, Robert DeNiro attempted to assassinate a politician. John Hinckley was reportedly inspired by the movie to attempt to kill President Reagan - in order to impress the actress.
Mundell believes that the wave of sympathy for Reagan following the assassination attempt deterred Congress from voting against Reagan’s tax plan. The result was a 25% reduction in federal income taxes - a revolutionary change in our tax system. In the years that followed, the US enjoyed a period of relatively positive growth.
Thus, Mundell concludes, “Taxi Driver is the most important movie ever made from the standpoint of creating GDP. It’s the movie that made the Reagan revolution possible. That movie was indirectly responsible for adding between $5trn and $15trn of output to the US economy.”
Pretty amazing conclusion, no?
(Hat Tip: Tax Prof blog)
(Image: Newscom)
Tags: Jodie Foster, Ronald ReaganRelated Stories
POSTED IN: politics, pop culture, tax policy
7 opinions for Who is Most Responsible for the Reagan Tax Cuts?
Stevenbee
Jun 3, 2008 at 7:35 am
Funny, but BS…
Carol Fritz
Jun 3, 2008 at 11:46 am
How about the casting agent or whoever gave Jodie the role? Or her agent who submitted her for it? Or her drama teacher in elementary school? Or her parents? Or her ancestors? Or the predatory animals that didn’t eat her them?
We are so taken by young, attractive white women in this superficial culture, as was John Hinckley, that we can no longer think straight.
Me
Jun 3, 2008 at 4:53 pm
Seeing Rethuglicans live in a movie-like reality,this is not surprising.
ray
Jun 3, 2008 at 5:51 pm
1) What does ‘white’ have to do with it? Some of the most beautiful women I have ever seen were not white.
2) You suggest we should prefer ugly old women?
3) I find your objections rather superficial…
tel
Jun 3, 2008 at 8:27 pm
Wasn’t this the plot of an episode of American Dad?
samspade
Jun 4, 2008 at 11:45 am
Reagan’s tax cuts work but its the other elected officials that are making a mockery of it. The new elected officials are taking the good and tearing apart. They want to put us under their thumbs. you may not believe this but you will. mark my words
GOP = Gaggle of Parrots | Akkam's Razor
Aug 25, 2008 at 11:47 am
[…] August 25th, 2008 · No Comments The GOP mascot should be a parrot - they repeat whatever talk radio, Foxnews, and the punditocracy says. Hence the “extreme liberal” Krugman. The there is the adherence to faith-based economics. They’ve heard the hagiography on Reagan so many times that whatever has been said is accepted, facts be damned. Besides, one could argue that Jodie Foster was actually responsible for the tax cuts and subsequent growth. […]
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