1. What is the intuition behind the notion of Ricardian equivalence? How might you look for evidence to test the suggestion that people account for future generations’ tax burdens by saving more today?
2. In the United States, the federal government pays for a considerably larger share of social welfare spending (that is, spending on social insurance programs to help low income, disabled, or elderly people) than it does for K 12 education spending. Similarly, state and local governments provide a larger share of education spending and a smaller share of welfare spending. Is this a coincidence, or can you think of a reason for why this might be so?
3. In 2017, partial repeal of the Affordable Care Act was enacted by Congress as a part of a larger tax reform package that made many substantial changes to the tax code. Why does the manner in which it was passed complicate efforts to evaluate the effect of ACA repeal on health care costs, coverage, and the overall economy?