Friday, October 3, 2008
Taxes with chart
I took the data mentioned in this post and put it in a more readable graph form using gnuplot. I annotated a few milestones, the Great Depression, Reagan years, and GWB's current reign.
As you can see since 1920 taxes have this low during the runup to the Great Depression where the Republican's of the time embraced the laissez-faire ideology. The recovery was accompanied by tax increases on the wealthy. Notice how during the 1980s, Reagan's tax cuts applied mainly to the rich and how little it affected the poor.
It is pretty clear to me how to get out the hole we are in, we will need to tax the rich again. Especially as they got us in this mess.