The correct answer for the question that is being presented above is this one: "the Iran-Contra scandal." The Iran-Contra scandal <span>occurred during the Reagan administration. Among all the four choices, Watergate scandal, the established Department of Education, and Persian Gulf War didn't happen in the Reagan administration.</span>
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The taxes which hit the poor hardest are those of local and state governments.
Federal government taxes are progressive, which means that people are taxed based on their income - this means that rich people have to pay higher taxes than poor people. On the other hand, local and state taxes are regressive, meaning the taxes are based according to the service bought - it's the same for the rich and the poor, but given that poor people earn much less money than the rich, they will be affected more direly.