The Case for Tax Loopholes

Authors

Murray L. Weidenbaum, Washington University in St Louis

Files

Publication Date

3-1-1977

Series Information

Occasional Paper 4

Publisher

Center for the Study of American Business (CSAB), Washington University in St. Louis, St. Louis, MO 63130

Description

Contrary to popular belief, tax expenditures or "loopholes" can in fact be useful. Given that the prompt elimination of large government deficit financing and pervasive government regulation is unlikely, tax expenditures may serve as a more sensible, second-best alternative. Indeed, tax expenditures (or incentives) may serve a variety of public purposes, ranging from promoting business investment to encouraging private, voluntary organizations. Typical tax expenditures tend to benefit the middle and lower income groups and should be considered an important alternative to achieve important government objectives.

Keywords

Tax Policy, Tax Expenditure, Loopholes, Incentives, Policy Alternatives

Disciplines

Economics | Public Policy

Comments

The Center for the Study of American Business (CSAB), 1975-2001, is the predecessor of the Weidenbaum Center on the Economy, Government, and Public Policy at Washington University in St. Louis. Permanent URL: http://dx.doi/org/10.7936/K7G15Z1V

DOI

doi:10.7936/K7G15Z1V

Recommended Citation

Weidenbaum, Murray L., "The Case for Tax Loopholes", Occasional Paper 4, 1977, doi:10.7936/K7G15Z1V.
Murray Weidenbaum Publications, https://openscholarship.wustl.edu/mlw_papers/71.