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President Bush's 2007 budget calls for creating an office of dynamic scoring in the Dept. of Treasury. FreedomWorks strongly supports this effort to create more realistic modeling for changes in tax policy. Bravo! Treasury writes:
"Dynamic analysis goes beyond traditional analysis of tax policy by focusing on the broad economic effects in both the short and long term. Simply, dynamic analysis provides a more comprehensive and complete approach to analyzing tax policy by including its effects on the overall size of the economy and other major macroeconomic variables. The President's FY 2007 Budget proposes to create a division of dynamic analysis within the Department of Treasury's Office of Tax Analysis."