... 11% to 15%. The Tax Reform of 1986 was the first time in American tax history that both the top and bottom rate were increased at the same time (BookCaps, Chapter 4). This act eliminated fifteen levels of income taxes to only four, which created an average tax for four levels of income. The act also mandated that capital gains, a profit that ... unemployment to only 5.3%, income tax was cut from 50% to 28%, federal spending was cut to 21.2%, the stock market tripled, inflation reduced to 3.2%, poverty rates declined every year from 1984 to 1989 by one-sixth, and total economic growth av...

• Word Count: 1379
• Approx Pages: 6
• Has Bibliography
• Grade Level: High School