Abstract
The US tax system underwent significant change during the 1980s. Effective income tax rates, particularly on capital income, were reduced dramatically in 1981. The system was overhauled again in 1986, with some of the reforms reversing provisions that had been enacted at the beginning of the decade. An important motivation for both sets of amendments was the hope that major changes in tax policy could induce equally dramatic changes in the nation’s rate of capital formation. An ultimate goal of reform was to reverse the slowdown in economic growth that began in the early 1970s and to spur improvements in American living standards.
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Bosworth, B. (1992). Tax policy and private saving in the 1980s: the United States experience. In: Fair, D.E., De Boissieu, C. (eds) Fiscal Policy, Taxation and the Financial System in an Increasingly Integrated Europe. Financial and Monetary Policy Studies, vol 22. Springer, Dordrecht. https://doi.org/10.1007/978-94-011-2628-1_5
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DOI: https://doi.org/10.1007/978-94-011-2628-1_5
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