Quote:
Originally Posted by hardflex
Yet this is not what occurred. Income tax receipts grew noticeably more slowly than usual in the 1980s, after the large cuts in individual and corporate income tax rates in 1981. And income tax collections grew much more rapidly in the 1990s than in the 1980s. The graph and table on the next page illustrate this fact.
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The Internet provided a once in a generation (once in a century?) boom where thousands of non-sustainable businesses paid hundreds of thousands of employees huge wages, and the stock market boomed in tech stocks, resulting in billions in capital gains revenues. The tax rate increase had little or nothing to do with it.