A wonderful article on why raising taxes on the “Rich” and lowering it for everyone else NEVER works. While lowering taxes on the rich ALWAYS works. The long and short of the article is that the EFFECTIVE tax rate on the top 1% has barely even budged since 1981 when the max rate was 70% to 2005 when it was 35%. Meanwhile the total share of the tax burden as a percentage of GDP actually doubled. It even points out how the peak of the 1% burden occurred directly after Clinton’s cut of the Capital Gains Tax rate in 1997 (from 28% to 20%), which directly resulted in a surplus.
The net net (a little phrase I’ve heard a lot lately) is that every time the Federal Government has lowered taxes on the top 1% (in the 1920s, Kennedy in the 60s, Reagan in the 80s) tax receipts go up. Is there really any reason to believe that for some reason NOW would be any different than all of these previous times?