Working Paper: NBER ID: w2478
Authors: Don Fullerton; Marios Karayannis
Abstract: Tax rules have changed almost yearly in the United States since 1980. In particular, the Economic Recovery Tax Act of 1981 reduced marginal tax rates and shortened depreciation lifetimes, while the Tax Reform Act of 1986 reduced marginal tax rates, repealed the investment tax credit, and lengthened depreciation lifetimes.
Keywords: Taxation; Capital Income; Effective Tax Rates
JEL Codes: H25; H32
Edges that are evidenced by causal inference methods are in orange, and the rest are in light blue.
| Cause | Effect |
|---|---|
| Economic Recovery Tax Act of 1981 (E65) | decrease in marginal effective tax rates (METRs) (H29) |
| Tax Reform Act of 1986 (H20) | increase in marginal effective tax rates (METRs) (H29) |