Wednesday, October 26, 2011

CBO Graph On Income Growth By Income Group 1979-2007

Sometimes a picture helps to tell a story. This graph from the Congressional Budget Office illustrates the growth in income by income group from 1979 to 2007. The growth in income by the top 1% accounts was dramatically higher than that for all other income groups. The income share for all other groups fell in this period.

To make matters worse the tax system was made less progressive as well. After tax income for the top 1% grew faster than pre-tax income.

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