Committee For a Responsible Federal Budget

🚨 As policymakers consider extending parts of the Tax Cuts and Jobs Act (TCJA) and possibly making other tax changes, there will be discussion about how best to score the deficit effects of any changes.

"Conventional scoring" incorporates the effects of tax changes on individual and business behavior, but it does not account for the effects on macroeconomic variables such as output, employment, inflation, and interest rates, while “dynamic scoring” does incorporate macroeconomic effects.

The following is a statement from CRFB president : https://www.crfb.org/press-releases/policymakers-should-include-dynamic-scores-tax-reform