GDP

Orders to U.S. Factories

Orders for durable goods

Growth rate

Unemployment rate (slowdowns and demand for labor)

Productivity

Value of the dollar

Global Economic activity

Oil Prices

Decrease export sales

Stock Prices

Consumer Spending

Business Investment

Rawles "Veil of Ignorance"

Income obtained by individual is not their own but that of society as a whole. Public policy is justified only if no matter the other effects, they contribute to a narrowing of income inequality. Requires a degree of redistribution as a minimal requirement of fairness.

Maximizes the welfare of the worst off in society.

Everyone’s well being depends upon a scheme of cooperation. Nullifies accidents of national endowments and contingencies of social circumstances (Any social or economic advantages i.e. talents, inheritances)

Tax Policy as a way to redistribute income rather than as a way to apportion the financial sacrifice citizens must make to support their government.

Redistribution may not be a logical extension of the notion of rationing the welfare spending of the state.

Principles of progressive taxation and welfare state have come to be universally accepted but it would be a serious error to infer that the American Polity has ever embraced the idea of income redistribution – defined as reducing inequality in incomes.

Progressive tax rates should not be a means of channeling funds from the rich to poor but as a fair distribution of tax burden according to taxpayer ability to pay.

Not that after tax should be made more equal but rather there should be an "equality of sacrifice" among citizenry in meeting revenue needs of government.

There is no central distribution. No person or group entitled to control all the resources. New holdings arise out of the voluntary exchanges and actions of persons.

The total result is the product of many individual decisions, which the different individuals involved, are entitled to make.

A distribution is just if it arises from another just distribution by legitimate means (No stealing, fraud, slavery, or forcibly excluding others from competing in the exchange. None of these are permissible modes of transmissions from one situation to another.

Dynamic analysis

Looks at the effect of economic growth on the economy.

Macroeconomic impact on tax policy from tax cuts and tax hikes on revenue.

Tax changes have a huge impact on business and individual incentives.

Static analysis

Assumes little impact with tax changes from individuals or investors. Cutting income tax rates by 20% is estimated to cut revenues by 20% while a tax increase of the same rate is scored as raising a like amount of revenue.