Hoover Institution (Stanford, CA) —On the heels of the US federal income tax filing deadline, the Hoover Institution is launching its Fiscal Policy Initiative (FPI).
This new Initiative aims to address some of the nation's most pressing economic challenges through rigorous research, insightful analysis, and policy proposals that target fiscal restraint and economic stability.
The FPI is dedicated to examining the vital intersection of federal spending, promote growth, taxation, and debt sustainability. Understanding that sound fiscal management is a cornerstone to long-term economic prosperity, the Initiative will serve as a hub for thought leaders and policymakers to debate and develop actionable strategies.
“Our nation is at a critical juncture, and the launch of the Hoover Institution’s Fiscal Policy Initiative could not come at a more pivotal time,” said Joshua D. Rauh, Hoover senior fellow and chair of the initiative. “As Americans confront the challenges of tax season, it can serve as a unique moment to reflect on our fiscal path. The FPI is committed to addressing runaway spending, enhancing the effectiveness of tax policies, and ensuring that our debt remains manageable for the future prosperity of all citizens.”
This announcement follows the Institute’s recent conference, held in March 2025, which focused on the economic consequences of US fiscal policy trends. Experts discussed critical issues, including debt sustainability, tax policy, and the interrelationships between fiscal and monetary policies.
Key points from the conference included:
- With interest payments on the national debt now consuming 18 percent of federal revenues, the potential risks for future economic growth were a significant concern.
- An analysis that pointed out the substantial financial impact of extending the Tax Cuts and Jobs Act (TCJA) of 2017, estimated at $4.5 trillion over ten years.
- The diminishing US innovation incentives caused by recent unfavorable R&D tax treatment compared to international competitors.
- The interaction between fiscal policy and monetary policy, with historical evidence indicating there are consequences to combining large fiscal stimuli with monetary accommodation.
By incorporating these insights, the FPI will foster dialogue and present practical solutions to avoid fiscal pitfalls, ensuring a resilient economy. The Initiative will also focus on educating the public and policymakers about the importance of sustainable fiscal policies and the dangers linked to excessive borrowing.
The FPI, with its balanced approach to fiscal conservativism, will thus play a pivotal role in guiding the US toward a sustainable economic future.
For more information about the Hoover Institution’s Fiscal Policy Initiative, please visit Hoover Fiscal Policy Initiative.
For coverage opportunities, contact Jeffrey Marschner, 202-760-3187, jmarsch@stanford.edu.
