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Article: Jessee Jackson's 38.5 per cent solution. (candidate's plan to raise top tax rate)
- Article from:
- National Review
- Article date:
- May 13, 1988
- Author:
CopyrightCOPYRIGHT 1988 National Review, Inc. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan. All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)
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Jesse Jackson's 38.5 Per Cent Solution
Jesse Jackson says that if elected President he will raise the top tax rate back up to 38.5 per cent for individuals earning more than $192,000 a year, a move that he claims will raise an additional $20 billion.
That's good money if you can get it, but according to Harvard economics professor Lawrence Lindsey, there isn't enough taxable income above $192,000 to generate that kind of revenue:
Only 6 per cent of taxable income currently falls into the highest bracket, generating $34 billion of taxes. Raise the rate on that income to 38.5 per cent, and at best you would get an additional $12 billion.
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