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'''Tax cuts''' provide a stimulus to the economy, because they reduce the cost of doing business and allow ordinary citizens to spend or save or invest more of their own money. Often cutting a tax rate will, paradoxically, result in a net increase of [[tax revenue]]. The best example is the tax on [[capital gains]].
 
'''Tax cuts''' provide a stimulus to the economy, because they reduce the cost of doing business and allow ordinary citizens to spend or save or invest more of their own money. Often cutting a tax rate will, paradoxically, result in a net increase of [[tax revenue]]. The best example is the tax on [[capital gains]].
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[[Category:Economy]]
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[[Category:Department of the Treasury]]
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