In 2006, the lowest 40 percent of income earners received net payments equal to 3.6% of total

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In 2006, the lowest 40 percent of income earners received net payments equal to 3.6% of total income tax revenues. The third 20 percent of income earners pay 4.4% of total income tax revenues. That means the lowest 60 percent together pay less than 1% of income tax revenues.

Would a policy that taxed the bottom 60 percent of income earners at a 0% tax rate and reduced redistribution by 1 percent of tax revenue have any merit?

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Foundations Of Microeconomics

ISBN: 9780133477108

7th Edition

Authors: Robin Bade, Michael Parkin

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