BRYAN, Tex. (KBTX) -- President Donald Trump is aiming to deliver on a campaign promise to reduce corporate tax rates from 35 to 15 percent.
Sarah Zubairy, Ph.D., is an economist from Texas A&M University, with a focus on macroeconomics and fiscal policy. She says the United States has one of the higher corporate tax rates in the world at 35 percent. If it drops to 15, Zubairy says, it would be one of the lowest.
With that in mind, Zubairy says the idea likely would indeed bring more big business to the U.S., creating the positive economic effect that President Trump expects as well.
However, some Republicans have expressed concern about the effect on the national debt. With decreased revenue from corporate taxes, Zubairy says the federal government will have to find the cash somewhere else so as not to contribute to the deficit.
For Zubairy's full comments, see the video player above. For her resume and qualifications, see the Related Links.