Republican lawmakers say they need answers before they cansupport a plan to overhaul U.S. business taxes — especially inlight of arguments from retailers and other companies that thechanges would hurt consumers. But a new report suggests solidinformation may be hard to come by.

There's been little real world analysis on how quickly the U.S.dollar would adjust under a so-called border-adjusted tax toprevent consumers from getting stuck with higher prices, accordingto a paper released Wednesday by the conservative-leaning TaxFoundation. Even so, the Washington policy group supports theproposal from Republican House leaders that would tax U.S.companies' imports and exempt their exports.

“Surprisingly, there has been little empirical work done on thematter,” Kyle Pomerleau, director of federal projects at the TaxFoundation, said in the report. “The literature suggests thatexchange rates would adjust, but it could take time for that totranslate through prices. This stickiness could have short-runimpacts on consumers and different industries.”

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