In 2012, in The Wall Street Journal, economists Peter Diamond and Emmanuel Saez asserted the following:
A) Since World War II, higher tax rates on individuals with the highest incomes tend to be associated with higher rates of economic growth - not with lower rates of economic growth.
B) The average federal income tax rate on the top 1 percent of income-earners in the United States more than doubled between 1970 and 2010.
C) A "reasonable" increase in the tax rate on top income earners is all that is needed to solve longterm fiscal problems faced by the United States.
D) All of the above are correct.

Question

In 2012, in The Wall Street Journal, economists Peter Diamond and Emmanuel Saez asserted the following:
A) Since World War II, higher tax rates on individuals with the highest incomes tend to be associated with higher rates of economic growth - not with lower rates of economic growth.
B) The average federal income tax rate on the top 1 percent of income-earners in the United States more than doubled between 1970 and 2010.
C) A "reasonable" increase in the tax rate on top income earners is all that is needed to solve long­term fiscal problems faced by the United States.
D) All of the above are correct.

Quizplus · Accepted Answer

Peter Diamond and Emmanuel Saez argued that higher tax rates on the wealthy have historically been associated with higher economic growth, challenging the notion that they hinder growth.

In 2012, in the Wall Street Journal, Economists Peter Diamond