Question

1. The income share of the top 1%in the United States from 2005 to 2012 was:

1. Substantially higher than at any time in the previous 90 years
2. Less than the peak levels reached during the Reagan administration (1982-1988)       
3. Similar to the peak levels reached in the years just prior to the Great Depression (1925-1929)
4. Reduced slightly from the average level attained during the Clinton administration       (1993-2000)

2. What happened to the gap between productivity and hourly compensation between 1948 and 2015?

1. It remained relatively small for the entire period
2. It remained relatively small from 1948-1973, then grew significantly from 1973-2015
3. It increased consistently for the entire period
4. None of the above

3. From 1979 to 2011, the average federal tax rate:

1. Went up for every income quintile
2. Went up for the bottom quintile, but went down for all the others
3. Went up for the middle class, but went down for all the others
4. Went down for every income quintile

4. Wealth inequality is typically ___than income inequality, because____.

1. More; higher incomes generate wealth over time
2. More; wealth is not taxed
3. Less; the highest income earners are relatively new to wealth
4. Less; the wealthiest don’t need as much income

Answer 1

1. The answer to the question is Option A- Substantially higher than at any time in the previous 90 years.

As per the studies, 95% of total income growth was captured by the top 1%.

2. The answer to the question is Option B - It remained relatively small from 1948-1973, then grew significantly from 1973-2015.

3. The answer to the question is option D - Went down for every income quintile.

4. The answer to the question is option A - More; higher incomes generate wealth over time.