SWA2014-Income &#124; Figure 2O &#124; Effect of tax policies on each household income group&#039;s share of total income, 1979 and 2007, and the difference needed in 2007 to preserve 1979 post-tax shares

SWA2014-Income | Figure 2O | Effect of tax policies on each household income group's share of total income, 1979 and 2007, and the difference needed in 2007 to preserve 1979 post-tax shares

* This shows the degree to which the tax system would have needed to increase 2007 pre-tax income shares to keep each group's share of post-tax income stable from 1979 to 2007, given the increasing inequality of pretax income over this period.

Note: Data are for comprehensive income. The changes in the difference needed in 2007 to preserve 1979 post-tax shares do not sum to zero due to the presence of negative-income households in CBO data.

Source: Authors' analysis of Congressional Budget Office (2010 and 2010b)

Previous chart: « SWA2014-Income | Figure 2Z | Change in household income, as reported by CBO comprehensive income data and CPS money income data, by income group, 1979–2007

Next chart: Hispanic unemployment rates of selected metropolitan areas, 2010 and 2011 »