Here’s what Hungerford found: The single greatest driver of income inequality over a recent 15 year period was runaway income from capital gains and dividends.


Changes in Income Inequality Among U.S. Tax Filers between 1991 and 2006: The Role of Wages, Capital Income, and Taxes

Thomas L. Hungerford

U.S. Congressional Research Service

January 23, 2013


Abstract:
This paper examines changes in after-tax income inequality among tax filers between 1991 and 2006. In particular, how changes in wages, capital income, and tax policy contribute to changes in income inequality is investigated. To examine the role of these three possible contributors to the increase in income inequality, the Gini coefficient is decomposed by income source using the method developed by Lerman and Yitzhaki (1985). The Gini coefficient of after-tax income increased by 15 percent (0.071 points) between 1991 and 2006. By far, the largest contributor to this increase was changes in income from capital gains and dividends. Changes in wages had an equalizing effect over this period as did changes in taxes. Most of the equalizing effect of taxes took place after the 1993 tax hike; most of the equalizing effect, however, was reversed after the 2001 and 2003 Bush-era tax cuts. Similar results are obtained with other inequality measures.

Number of Pages in PDF File: 41

Keywords: income inequality, Gini coefficient, capital income, wages, taxes

JEL Classification: D3, D6
working papers series

http://papers.ssrn.com/sol3/papers.cfm?abstract_id=2207372

"By far, the largest contributor to increasing income inequality (regardless of income inequality measure) was changes in income from capital gains and dividends,” the report concludes.

Or, as Hungerford put it in an interview with me: “The reason income inequality has been increasing has been the rising income going to the top one percent. Most of that has come in capital gains and dividends.”


The report is pretty widely known to be impartial. Sounds like the GOP paymasters are on the ropes with more data than they can handle. but Much like Climate change will DENY DENY DENY!

The above argument is way stronger than the argument for climate change.

Duck Hunt Wrote:
-------------------------------------------------------
> "By far, the largest contributor to increasing
> income inequality (regardless of income inequality
> measure) was changes in income from capital gains
> and dividends,” the report concludes.
>
> Or, as Hungerford put it in an interview with me:
> “The reason income inequality has been
> increasing has been the rising income going to the
> top one percent. Most of that has come in capital
> gains and dividends.”
>
>
> The report is pretty widely known to be impartial.
> Sounds like the GOP paymasters are on the ropes
> with more data than they can handle. but Much
> like Climate change will DENY DENY DENY!


WTF are you talking about? lol What does this have to do with the sequester other than somebody on some blog must have pulled it to try to make it so. Seriously, some of you folks need to lay off MSNBC/Daily Kos for a while.

You really think that it's some great revelation that more wealthy people have more money to invest? That includes btw, relatively "rich" people like most here who have 401K and similar accounts.

So what happened after 2006?

And who was responsible for the largest cut to capital gains and dividend rates over that time period?

Shockerz Wrote:
-------------------------------------------------------

>
> WTF are you talking about? lol What does this
> have to do with the sequester other than somebody
> on some blog must have pulled it to try to make it
> so. Seriously, some of you folks need to lay off
> MSNBC/Daily Kos for a while.
>
> You really think that it's some great revelation
> that more wealthy people have more money to
> invest? That includes btw, relatively "rich"
> people like most here who have 401K and similar
> accounts.
>
> So what happened after 2006?
>
> And who was responsible for the largest cut to
> capital gains and dividend rates over that time
> period?


+1. A complete disconnect between cutting government spending and "income equality" The OP is a typical lib: too smart by half.

A what the hell is the government's role in income inequality anyway? In the democrat economy, a falling tide lowers all boats. Shared misery is their norm.

Hey libtards, how about policies and spending that actually grow the economy instead of propping up failed industries to put off their ultimate demise a couple more years or repaying your campaign donors? You control the WH and the Senate. Do something! Fools.

Gunga Fin Wrote:
-
>
> Hey libtards, how about policies and spending that
> actually grow the economy instead of
> propping up failed industries to put off their
> ultimate demise a couple more years or repaying
> your campaign donors? You control the WH and the
> Senate. Do something! Fools.


hey jack ass hows about paying people a livable wage while not cheating the fuck out of the system through tax loopholes made especially for the way The RICH make money rather than the WORK that the WORKING CLASS actually does?

Duck Hunt Wrote:
-------------------------------------------------------
> Gunga Fin Wrote:
> -
> >
> > Hey libtards, how about policies and spending
> that
> > actually grow the economy instead of
> > propping up failed industries to put off their
> > ultimate demise a couple more years or repaying
> > your campaign donors? You control the WH and
> the
> > Senate. Do something! Fools.
>
>
> hey jack ass hows about paying people a livable
> wage while not cheating the fuck out of the system
> through tax loopholes made especially for the way
> The RICH make money rather than the WORK that the
> WORKING CLASS actually does?


Over 83% of the Bush tax cuts went to those making $250K or less. About 70% went to families making $150K or less and around 60% went to families making $100K or less. Just about 100% of anyone who made over $10K a year got their taxes reduced under the Bush tax cuts. You're an uninformed fool.

Why didn't you retard libs fix this when you had the House, Senate and the WH? Oh yeah, you were busy forcing obamacare down our throats even tho only 30% of voters wanted it.

Let's raise the minimum wage to $100 an hour. That'll fix everything. Moron.

Gunga Fin Wrote:
-------------------------------------------------------

> Let's raise the minimum wage to $100 an hour.
> That'll fix everything. Moron.


Uh huh.

Wait! I've got it! We can just move the decimal place in everyone's salary one position to the right. Then everyone would be rich!

lulz

Gunga Fin Wrote:

> Hey libtards, how about policies and spending that
> actually grow the economy

That would eat into their voting base. Its in their best interest to increase government dependence which then in turn increases their power which is all they care about. As long as they can live like royalty theyre happy letting everyone else suffer and foot the bill

Shockerz Wrote:
-
>
> WTF are you talking about? lol What does this
> have to do with the sequester other than somebody
> on some blog must have pulled it to try to make it
> so. Seriously, some of you folks need to lay off
> MSNBC/Daily Kos for a while.
>
> You really think that it's some great revelation
> that more wealthy people have more money to
> invest? That includes btw, relatively "rich"
> people like most here who have 401K and similar
> accounts.
>
> So what happened after 2006?
>
> And who was responsible for the largest cut to
> capital gains and dividend rates over that time
> period?


the problem is the complete and total War on the middle class and the working class and how they earn their money and how the RICH investor class earn their money. The Filthy Rich have bought institutions in government, rigged the GOP lawmakers as their own puppets to rig tax systems, crush Unions and who sale create the whole TOO BIG TO FAIL system. The rebuke of 2012 Obama re-election spits in the face of all that. TAX capital gains fairly the same way that the middle class and working class wages are taxed.

Solar CoAsTeR Wrote:
-------------------------------------------------------

>
>
> the problem is the complete and total War on the
> middle class and the working class and how they
> earn their money and how the RICH investor class
> earn their money. The Filthy Rich have bought
> institutions in government, rigged the GOP
> lawmakers as their own puppets to rig tax systems,
> crush Unions and who sale create the whole TOO BIG
> TO FAIL system. The rebuke of 2012 Obama
> re-election spits in the face of all that. TAX
> capital gains fairly the same way that the middle
> class and working class wages are taxed.


You sing the class warfare song well comrade. Funny, in a pathetic kind of way. The rich will always be rich and it's not the government's job to drag them down to compensate for your sorry life.

Your government is run by central banks idiot. The entire world is being run by the large central banks. The only jokers in the deck are those countries that don't have one (usually run by Islamic radicals and/or tin horn dicators who really oppress their people). You're just another useful idiot who swallows Obama's jizz while his puppet masters pull his strings to keep us all distracted with shiny objects. Luckily for the rest of us, morons like you are fodder and the first to be sacrificed.
.
Attachments:

Yes its class warfare. BY THE RICH ON EVERYONE ELSE! WELCOME TO THE PROPAGANDA MACHINE OF THE RICH!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!

Solar CoAsTeR Wrote:
-------------------------------------------------------
> Yes its class warfare. BY THE RICH ON EVERYONE
> ELSE! WELCOME TO THE PROPAGANDA MACHINE OF THE
> RICH!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!


Then stop whining about the GOP, admit the democrats are just as bad and support a third party. Case and point: Harry Ried - never had a job other than politician but is now worth tens of millions. Using his power to make himself RICH!!!!!!!! Obama is a millionaire. Clinton always wanted to be RICH!!!!! and is now worth tens of millions after using his office to make his friends RICH!!!!!!!! Kerry is worth hundreds of millions. Pelosi is worth almost 100 million. Who is for corporate welfare? Both parties. Facebook just paid ZERO taxes for the year. GE is getting huge tax breaks. Obama's green energy debacle is being funded by our tax dollars. All corporate welfare. At least the GOP also tries to help small and medium sized businesses and not just the large corporations, especially the ones with union labor. Your partisanship blinds you to the truth, thus your message is that of a fool.

The extreme race, class and gender warfare that Django has waged against America will backfire in the end.

In the end, it will be the obama voters that are killed, displaced and incarcerated than ever before.

Killed by the 400mil weapons that whitey has hidden for such an occasion.