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Why Tax Rate Reductions Are More Stimulative Than Rebates: Lessons from 2001 and 2003

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Publication Date: January 2008

Publisher(s): Heritage Foundation (Washington, D.C.)

Author(s): Brian M. Riedl

Series: WebMemo

Topic: Economics (Economic policy, planning, and development)

Keywords: Economy; Tax cuts; growth; stimulus

Type: Brief

Coverage: United States


Lawmakers currently examining economic stimulus proposals should reject rebates in favor of tax rate reductions.