The tax bill worked out by a Senate-House conference in a series of exhausting 16-hour sessions last week provides plenty of tax relief but relatively little in the way of long-term reforms. What started out as an effort to close tax loopholes turned into a tax-cutting binge designed to win friends for Congress in an election year.
In the short run, the bill will increase federal revenues. Eventually, however, as tax reductions take effect, federal intake will decline sharply, creating what one Treasury man calls "the revenue crunch of the '70s." The bill represents a Democratic attempt to win the affections of...
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