ECON 2200 Chapter Notes - Chapter 26: Tax Rate, Progressive Tax, Federal Farm Loan Act
9 Feb 2017
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The great bull market (p. 415-420): will be covered in conjunction with chap 23. (do not. Macroeconomic policy in the 1920s period of post-war readjustment (particularly early. 1920"s: faith in markets, limited government intervention & the self-regulating economy, fiscal policy: return to non-wartime environment. Limited g (gov spending), especially at federal level (table 22. 5: national defense, eterans" benefits, postal service, payments on wwi debt. ***reductions in federal taxes (1924, 1926 & 1928), including: excise taxes, estate taxes, corporate income taxes, personal income taxes: In 1920s, top marginal tax rate was gradually reduced from 77% (for income > million) to 24%. Recall the difference between the marginal tax rate and the average tax rate in a progressive income tax structure. For most tax payers: mtr atr, and mtr (marginal tax rate) = tax rate that applies to last $ of, mtr > atr an individual"s income. Progressive tax income the tax rate that applies rises as your income goes up.
