Statement I: One reason for the greater concentration of wealth in the hands of the rich is the slashing of the federal income tax rates paid by the rich over the last three decades.
Statement II: In the U.S.income is more evenly distributed than wealth.

Question

Quizplus · Accepted Answer

Both statements are true. Statement I is accurate because reductions in federal income tax rates for the wealthy can lead to increased wealth concentration among the rich. Statement II is correct because income distribution, while unequal, is less skewed than the distribution of wealth in the U.S., where wealth is significantly more concentrated among the wealthiest individuals.

Statement I: One Reason for the Greater Concentration of Wealth