Tax Cuts Could Create a Boom, Say Economists

Atlanta Fed raised its Q1 economic growth forecast to 4 percent

Macy’s Herald Square in New York on Nov. 21, 2017. The Atlanta Federal Reserve predicts booming economic activity for the first quarter of 2018. BENJAMIN CHASTEEN/THE EPOCH TIMES

The U.S. economy may have a blockbuster start to the year, thanks to tax reform. According to some economists, the tax reform could spark higher consumer spending and capital investments.

U.S. gross domestic product (GDP) is expected to surge to 4.0 percent in the first quarter, according to the latest forecast from the Atlanta Federal Reserve. If the forecast holds, it will be the best quarter since the third quarter of 2014.