The Effect of the 2017 Tax Reform on Investment

Filippo Occhino

Economic Commentary, 2020, vol. 2020, issue 17, 5

Abstract: The 2017 tax reform affected investment through many channels. I use a macroeconomic model to estimate the overall effect. That estimate suggests that, because the different provisions worked in different directions, the initial impact of the tax reform on investment was small. The same model predicts that the tax reform will hold investment down in the medium term.

Date: 2020
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DOI: 10.26509/frbc-ec-202017

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