Is President-Elect Donald Trump a Keynesian?

The transcript discusses the concept of Keynesian stimulus and dynamic scoring, particularly in the context of U.S. economic policy. It explores how dynamic scoring is used to make tax cuts appear less costly by predicting future economic growth. The discussion includes Trump's unique approach to dynamic scoring, which incorporates regulatory and trade changes. The challenges of economic modeling are highlighted, with insights from economists and institutions like the CBO. The transcript concludes with a debate on the trustworthiness of economic scoring methods and their political implications.

What is the primary reason Republicans have been advocating for dynamic scoring?

• To reduce the national deficit

• To make tax cuts appear less expensive

• To simplify economic models

• To increase government spending

How does the Trump administration's dynamic scoring differ from traditional methods?

• It excludes regulatory changes

• It includes a wider range of factors like trade and regulatory changes

• It focuses solely on tax revenue

• It uses only static GDP forecasts

What is a significant challenge mentioned in modeling the Trump administration's dynamic scoring approach?

• Complexity of macroeconomic models

• Over-reliance on static GDP forecasts

• Inclusion of unmodeled factors like regulatory changes

• Lack of historical data

What is Doug Elmendorf's stance on dynamic scoring?

• He thinks it should replace all other methods

• He believes it is unnecessary

• He is completely against it

• He is cautiously supportive

What is a key concern Alan Greenspan has about macroeconomic models?

• They are too simple

• They do not account for inflation

• They are not yet reliable enough to predict tax cut outcomes

• They are overly complex