Policy Watch: Designing an Effective Investment Tax Credit
探讨如何设计投资税收抵免（ITC），以在减少财政收入损失的同时最大化经济刺激效果，主要关注永久性ITC，也涉及临时版本。
The investment tax credit (ITC) allows firms to reduce their tax liability by an amount related to their expenditures on equipment, and thus reduces the cost of acquiring capital. An investment tax credit can be introduced temporarily to stimulate investment as part of a countercyclical fiscal policy or permanently as part of a strategy to enhance capital formation, raise labor productivity, and so speed longer-term economic growth. The discussion in this paper will focus mainly on the permanent ITC, although it will include some comments on the temporary version. As this paper is being written, President-elect Bill Clinton is widely expected to propose an ITC (of some sort) to Congress soon after taking office. Since the federal deficit continues to constrain fiscal policy, attention has been focused on designing an ITC that delivers the greatest stimulus per dollar loss of revenue.