Throughout the history of America, we have used a variety of methods to tax the income of the public. Prior to the World War II only a fraction of the population actually made enough money to reach a taxable threshold. However, during and after the war, that threshold was lowered so much that about 90% of the population qualified for taxes to be automatically deducted from their paycheck. With that being said, there was also more deduction opportunities than their are today to avoid a large tax bill.
What assumptions do we make about income inequality? Is economic inequality inherently bad? How high is income inequality in the U.S.? What is a marginal tax rate? What is tax planning? What is modern monetary theory and what is it missing?