Since the federal income tax was established in 1913, the US economy grew faster and created more jobs when top tax rates were the highest.
"In those years where the top tax rate was 70% or above (48 out of the last 97 years), GDP growth averaged 9.0% and job growth averaged 2.6%. In those years where the top tax rate was 40% or below (37 out of the last 97 years), GDP growth was 4.4% and there was no job growth. Surprisingly, when the top tax rates were the lowest, job growth averaged zero!" ---Bryan Ganz
Bryan Ganz is the CEO and Managing Partner of Scudder Bay Capital. Mr. Ganz has served on the Board of Governors of Citizens Against Government Waste, a watchdog organization dedicated to promoting fiscal responsibility within Congress. Mr. Ganz graduated with honors from Georgetown University’s Business School with a BSBA in accounting in 1980. He received his JD from Columbia Law School in 1983, where he was a Harlan Fiske Stone Scholar.