Question

Donald Trump prospered in the "Second Gilded Age" of the 1980s, in which major corporations’ executives brought home 25 million and more in annual pay. These executives benefitted from President Reagan’s decision to cut top marginal tax rates from
a. 52% to 12%

b. 70% to 28%

c. 52% to 28%

d. 70% to 52%

Answer 1

Answer:

c. 52% to 28%

Explanation:

Reagan signed the Tax Reform act in 1986 on October 22 which is commonly known as the second of the two Reagan tax cuts. It was for the first time in the U.S. income tax history that the top tax rate was lowered and the bottom rate was increased. The top rate was reduced from 52% to 28%, which helped all the executives to save the money and could buy home worth 25 million just in annual pay.