the staff of the Ridgewood blog
Washington DC, University of Chicago professor Casey Mulligan has run the numbers on the economic impact of the Democrats massive climate, tax and health bill. While mainstream media pundits are claiming a a big win for Democrats, Chicago professor Casey Mulligan analysis shows a big loss for jobs, and higher taxes for middle class tax payers .
Unlike many of the lowball estimates, this takes into account the combined effects of the supersized Obamacare subsidies, which like expanded unemployment insurance, reward people not to work, and the bill’s tax hikes on businesses.
Here is a brief summary of the analysis:
“By decreasing both the number of workers per capita and GDP per worker, respectively, the ACA and corporate-tax elements of the IRA reinforce to significantly reduce GDP per capita and average household incomes. Green energy provisions also reduce real wages and real GDP by shifting resources from high-productivity uses such as fossil-fuel extraction and drug development toward low-productivity green energy segments. This study estimates that, as a result of the IRA, real GDP per capita would be 1 to 2 percent less. In the long run, annual incomes would be reduced by about $1,300 per household, of which more than $1,200 would be reduced income from work.”
His full analysis is available here:
Democrats name bills EXACTLY the OPPOSITE of what they really do.