Finance and Economics Discussion Series: Data for paper 2012-05
♣
Quantifying the Role of Federal and State Taxes in Mitigating Wage Inequality
Daniel H. Cooper, Byron F. Lutz, and Michael G. Palumbo
Figure 1A: Inequality over Time
| Year |
Gross Income |
Gross Wages and Salaries |
| 1984 |
0.3291399 |
0.3242388 |
| 1985 |
0.3357095 |
0.3311491 |
| 1986 |
0.3399608 |
0.3366586 |
| 1987 |
0.3314016 |
0.3298828 |
| 1988 |
0.3335452 |
0.3323276 |
| 1989 |
0.3396992 |
0.3381207 |
| 1990 |
0.3389938 |
0.3377896 |
| 1991 |
0.3369048 |
0.3355429 |
| 1992 |
0.3398896 |
0.3383469 |
| 1993 |
0.344137 |
0.3427297 |
| 1994 |
0.350478 |
0.3484673 |
| 1995 |
0.3691309 |
0.3673375 |
| 1996 |
0.3741328 |
0.3732266 |
| 1997 |
0.37687 |
0.3735559 |
| 1998 |
0.3758387 |
0.3735782 |
| 1999 |
0.3758998 |
0.3727002 |
| 2000 |
0.3933083 |
0.3911252 |
| 2001 |
0.392378 |
0.3916703 |
| 2002 |
0.3907002 |
0.3900866 |
| 2003 |
0.3871485 |
0.3866837 |
| 2004 |
0.3909056 |
0.3896297 |
| 2005 |
0.3930224 |
0.3914527 |
| 2006 |
0.4015145 |
0.3994759 |
| 2007 |
0.3950887 |
0.3936912 |
| 2008 |
0.3946062 |
0.3935951 |
Figure 1B: 90/10 Split of the Income Distribution
| Year |
Gross Income |
Gross Wages and Salaries |
| 1984 |
1.554981 |
1.5272 |
| 1985 |
1.618389 |
1.589235 |
| 1986 |
1.652905 |
1.62924 |
| 1987 |
1.626058 |
1.617749 |
| 1988 |
1.631021 |
1.624828 |
| 1989 |
1.655744 |
1.676247 |
| 1990 |
1.627604 |
1.621174 |
| 1991 |
1.689481 |
1.658229 |
| 1992 |
1.66326 |
1.671958 |
| 1993 |
1.685914 |
1.688134 |
| 1994 |
1.727399 |
1.73044 |
| 1995 |
1.728822 |
1.726879 |
| 1996 |
1.710898 |
1.713318 |
| 1997 |
1.7203 |
1.730391 |
| 1998 |
1.74603 |
1.737819 |
| 1999 |
1.791759 |
1.746297 |
| 2000 |
1.794576 |
1.791759 |
| 2001 |
1.763659 |
1.770706 |
| 2002 |
1.785329 |
1.791759 |
| 2003 |
1.772157 |
1.783311 |
| 2004 |
1.781907 |
1.771957 |
| 2005 |
1.781527 |
1.781907 |
| 2006 |
1.810109 |
1.769287 |
| 2007 |
1.778514 |
1.799059 |
| 2008 |
1.757858 |
1.782949 |
Figure 1C: 90/50 Split of the Income Distribution
| Year |
Gross Income |
Gross Wages and Salaries |
| 1984 |
0.7216806 |
0.7266703 |
| 1985 |
0.7439194 |
0.7563257 |
| 1986 |
0.7536163 |
0.7537718 |
| 1987 |
0.7699089 |
0.7406788 |
| 1988 |
0.7708206 |
0.7647409 |
| 1989 |
0.7951803 |
0.7825365 |
| 1990 |
0.7803068 |
0.7903929 |
| 1991 |
0.7731895 |
0.772397 |
| 1992 |
0.8035393 |
0.7884569 |
| 1993 |
0.8168764 |
0.8363819 |
| 1994 |
0.8266125 |
0.8349447 |
| 1995 |
0.8301134 |
0.8260927 |
| 1996 |
0.823595 |
0.8209801 |
| 1997 |
0.8391008 |
0.8284883 |
| 1998 |
0.8705606 |
0.863493 |
| 1999 |
0.8888912 |
0.8708277 |
| 2000 |
0.895875 |
0.8754692 |
| 2001 |
0.8754692 |
0.8797331 |
| 2002 |
0.9082584 |
0.8880472 |
| 2003 |
0.8991423 |
0.9062405 |
| 2004 |
0.9113522 |
0.9162912 |
| 2005 |
0.9162903 |
0.9015484 |
| 2006 |
0.9162912 |
0.9172382 |
| 2007 |
0.9162903 |
0.9162683 |
| 2008 |
0.9077072 |
0.9207258 |
Figure 1D: 50/10 Split of the Income Distribution
| Year |
Gross Income |
Gross Wages and Salaries |
| 1984 |
0.8333006 |
0.8005295 |
| 1985 |
0.8744698 |
0.8329096 |
| 1986 |
0.8992882 |
0.8754683 |
| 1987 |
0.8561487 |
0.8770704 |
| 1988 |
0.8602009 |
0.8600874 |
| 1989 |
0.8605633 |
0.8937101 |
| 1990 |
0.8472977 |
0.830781 |
| 1991 |
0.9162912 |
0.8858318 |
| 1992 |
0.8597202 |
0.8835011 |
| 1993 |
0.8690376 |
0.8517523 |
| 1994 |
0.9007864 |
0.8954954 |
| 1995 |
0.8987083 |
0.9007864 |
| 1996 |
0.8873034 |
0.8923378 |
| 1997 |
0.8811989 |
0.9019022 |
| 1998 |
0.8754692 |
0.8743258 |
| 1999 |
0.9028683 |
0.8754692 |
| 2000 |
0.8987007 |
0.9162903 |
| 2001 |
0.8881893 |
0.8909731 |
| 2002 |
0.8770704 |
0.9037113 |
| 2003 |
0.8730145 |
0.8770704 |
| 2004 |
0.8705549 |
0.8556662 |
| 2005 |
0.8652363 |
0.8803587 |
| 2006 |
0.8938179 |
0.8520489 |
| 2007 |
0.8622236 |
0.8827906 |
| 2008 |
0.8501511 |
0.8622236 |
Figure 2A: 90/10 Split across States
| State |
Net Income |
Gross Income |
States with Least Compression |
States with Most Compression |
| AK |
1.490027 |
1.683958 |
0 |
0 |
| AL |
1.497284 |
1.71608 |
0 |
0 |
| AR |
1.426139 |
1.635301 |
0 |
0 |
| AZ |
1.478166 |
1.696742 |
0 |
0 |
| CA |
1.54172 |
1.820757 |
0 |
1 |
| CO |
1.479673 |
1.697976 |
0 |
0 |
| CT |
1.451263 |
1.702483 |
0 |
0 |
| DC |
1.317669 |
1.599022 |
0 |
1 |
| DE |
1.425159 |
1.680526 |
0 |
0 |
| FL |
1.554998 |
1.722447 |
1 |
0 |
| GA |
1.479295 |
1.730419 |
0 |
0 |
| HA |
1.453571 |
1.721704 |
0 |
1 |
| IA |
1.333448 |
1.556491 |
0 |
0 |
| ID |
1.405058 |
1.630355 |
0 |
0 |
| IL |
1.487056 |
1.679446 |
0 |
0 |
| IN |
1.410145 |
1.586754 |
0 |
0 |
| KS |
1.444596 |
1.677508 |
0 |
0 |
| KY |
1.467255 |
1.713899 |
0 |
0 |
| LA |
1.550599 |
1.779713 |
0 |
0 |
| MA |
1.439169 |
1.659271 |
0 |
0 |
| MD |
1.47622 |
1.718114 |
0 |
0 |
| ME |
1.303157 |
1.53352 |
0 |
0 |
| MI |
1.455402 |
1.679754 |
0 |
0 |
| MN |
1.389218 |
1.645361 |
0 |
0 |
| MO |
1.433968 |
1.660354 |
0 |
0 |
| MS |
1.54235 |
1.747693 |
0 |
0 |
| MT |
1.373334 |
1.59468 |
0 |
0 |
| NC |
1.466524 |
1.702612 |
0 |
0 |
| ND |
1.417318 |
1.588447 |
1 |
0 |
| NE |
1.397331 |
1.599016 |
0 |
0 |
| NH |
1.457936 |
1.643747 |
0 |
0 |
| NJ |
1.556299 |
1.795267 |
0 |
0 |
| NM |
1.480584 |
1.708157 |
0 |
0 |
| NV |
1.464897 |
1.639982 |
0 |
0 |
| NY |
1.446831 |
1.722826 |
0 |
1 |
| OH |
1.41289 |
1.629304 |
0 |
0 |
| OK |
1.471564 |
1.712072 |
0 |
0 |
| OR |
1.38482 |
1.66099 |
0 |
1 |
| PA |
1.437736 |
1.622539 |
0 |
0 |
| RI |
1.409914 |
1.631863 |
0 |
0 |
| SC |
1.46377 |
1.703216 |
0 |
0 |
| SD |
1.422083 |
1.564468 |
1 |
0 |
| TN |
1.491203 |
1.652914 |
1 |
0 |
| TX |
1.611112 |
1.799014 |
0 |
0 |
| UT |
1.385391 |
1.590808 |
0 |
0 |
| VA |
1.504993 |
1.756542 |
0 |
0 |
| VT |
1.36123 |
1.559679 |
0 |
0 |
| WA |
1.508999 |
1.680361 |
1 |
0 |
| WI |
1.355997 |
1.594275 |
0 |
0 |
| WV |
1.418539 |
1.616678 |
0 |
0 |
| WY |
1.450076 |
1.623514 |
0 |
0 |
Figure 2B: Gini Coefficients for Net and Gross Income across States
| State |
Net Income |
Gross Income |
States with Least Compression |
States with Most Compression |
| AL |
0.325 |
0.373 |
0 |
0 |
| AK |
0.311 |
0.349 |
0 |
0 |
| AZ |
0.331 |
0.382 |
0 |
0 |
| AR |
0.309 |
0.358 |
0 |
0 |
| CA |
0.33 |
0.391 |
0 |
1 |
| CO |
0.327 |
0.377 |
0 |
0 |
| CT |
0.32 |
0.37 |
0 |
0 |
| DE |
0.314 |
0.366 |
0 |
0 |
| DC |
0.306 |
0.37 |
0 |
1 |
| FL |
0.341 |
0.382 |
0 |
0 |
| GA |
0.32 |
0.373 |
0 |
0 |
| HA |
0.315 |
0.369 |
0 |
1 |
| ID |
0.305 |
0.357 |
0 |
0 |
| IL |
0.322 |
0.363 |
0 |
0 |
| IN |
0.308 |
0.348 |
0 |
0 |
| IA |
0.29 |
0.335 |
0 |
0 |
| KS |
0.314 |
0.363 |
0 |
0 |
| KY |
0.311 |
0.361 |
0 |
0 |
| LA |
0.329 |
0.376 |
0 |
0 |
| ME |
0.285 |
0.335 |
0 |
0 |
| MD |
0.322 |
0.371 |
0 |
0 |
| MA |
0.324 |
0.372 |
0 |
0 |
| MI |
0.312 |
0.357 |
0 |
0 |
| MN |
0.308 |
0.362 |
0 |
0 |
| MS |
0.331 |
0.379 |
0 |
0 |
| MO |
0.308 |
0.355 |
0 |
0 |
| MT |
0.293 |
0.34 |
0 |
0 |
| NE |
0.3 |
0.343 |
0 |
0 |
| NV |
0.321 |
0.358 |
1 |
0 |
| NH |
0.322 |
0.361 |
0 |
0 |
| NJ |
0.335 |
0.387 |
0 |
0 |
| NM |
0.318 |
0.371 |
0 |
0 |
| NY |
0.322 |
0.382 |
0 |
1 |
| NC |
0.321 |
0.375 |
0 |
0 |
| ND |
0.305 |
0.343 |
0 |
0 |
| OH |
0.301 |
0.347 |
0 |
0 |
| OK |
0.312 |
0.363 |
0 |
0 |
| OR |
0.301 |
0.358 |
0 |
1 |
| PA |
0.312 |
0.353 |
0 |
0 |
| RI |
0.309 |
0.36 |
0 |
0 |
| SC |
0.309 |
0.358 |
0 |
0 |
| SD |
0.313 |
0.344 |
1 |
0 |
| TN |
0.328 |
0.365 |
1 |
0 |
| TX |
0.347 |
0.389 |
0 |
0 |
| UT |
0.294 |
0.337 |
0 |
0 |
| VT |
0.296 |
0.344 |
0 |
0 |
| VA |
0.329 |
0.381 |
0 |
0 |
| WA |
0.325 |
0.361 |
1 |
0 |
| WV |
0.301 |
0.344 |
0 |
0 |
| WI |
0.295 |
0.342 |
0 |
0 |
| WY |
0.303 |
0.337 |
1 |
0 |
Figure 3A: 90/10 Split across States (Federal Compression)
| State |
Net Income |
Gross Income |
States with Least Compression |
States with Most Compression |
| AK |
1.497769 |
1.683958 |
0 |
0 |
| AL |
1.520871 |
1.71608 |
0 |
0 |
| AR |
1.456361 |
1.635301 |
0 |
0 |
| AZ |
1.506363 |
1.696742 |
0 |
0 |
| CA |
1.601898 |
1.820757 |
0 |
1 |
| CO |
1.519745 |
1.697976 |
0 |
0 |
| CT |
1.495579 |
1.702483 |
0 |
0 |
| DC |
1.39766 |
1.599022 |
0 |
0 |
| DE |
1.484782 |
1.680526 |
0 |
0 |
| FL |
1.532473 |
1.722447 |
0 |
0 |
| GA |
1.527384 |
1.730419 |
0 |
0 |
| HA |
1.533938 |
1.721704 |
0 |
0 |
| IA |
1.388376 |
1.556491 |
0 |
0 |
| ID |
1.449605 |
1.630355 |
0 |
0 |
| IL |
1.475539 |
1.679446 |
0 |
0 |
| IN |
1.40535 |
1.586754 |
0 |
0 |
| KS |
1.486555 |
1.677508 |
0 |
0 |
| KY |
1.503983 |
1.713899 |
0 |
0 |
| LA |
1.553598 |
1.779713 |
0 |
1 |
| MA |
1.458848 |
1.659271 |
0 |
0 |
| MD |
1.518406 |
1.718114 |
0 |
0 |
| ME |
1.365151 |
1.53352 |
0 |
0 |
| MI |
1.474034 |
1.679754 |
0 |
0 |
| MN |
1.46442 |
1.645361 |
0 |
0 |
| MO |
1.464956 |
1.660354 |
0 |
0 |
| MS |
1.545239 |
1.747693 |
0 |
0 |
| MT |
1.427114 |
1.59468 |
1 |
0 |
| NC |
1.512943 |
1.702612 |
0 |
0 |
| ND |
1.428465 |
1.588447 |
1 |
0 |
| NE |
1.434199 |
1.599016 |
1 |
0 |
| NH |
1.457025 |
1.643747 |
0 |
0 |
| NJ |
1.578663 |
1.795267 |
0 |
1 |
| NM |
1.505005 |
1.708157 |
0 |
0 |
| NV |
1.447619 |
1.639982 |
0 |
0 |
| NY |
1.513589 |
1.722826 |
0 |
0 |
| OH |
1.442106 |
1.629304 |
0 |
0 |
| OK |
1.513911 |
1.712072 |
0 |
0 |
| OR |
1.472512 |
1.66099 |
0 |
0 |
| PA |
1.435004 |
1.622539 |
0 |
0 |
| RI |
1.455514 |
1.631863 |
0 |
0 |
| SC |
1.504704 |
1.703216 |
0 |
0 |
| SD |
1.40304 |
1.564468 |
1 |
0 |
| TN |
1.451022 |
1.652914 |
0 |
0 |
| TX |
1.585635 |
1.799014 |
0 |
1 |
| UT |
1.422117 |
1.590808 |
0 |
0 |
| VA |
1.543517 |
1.756542 |
0 |
1 |
| VT |
1.40021 |
1.559679 |
1 |
0 |
| WA |
1.495094 |
1.680361 |
0 |
0 |
| WI |
1.419677 |
1.594275 |
0 |
0 |
| WV |
1.426293 |
1.616678 |
0 |
0 |
| WY |
1.444546 |
1.623514 |
0 |
0 |
Figure 3B: 90/10 Split across States (State Compression)
| State |
Net Income |
Gross Income |
States with Least Compression |
States with Most Compression |
| AK |
1.683076 |
1.683958 |
0 |
0 |
| AL |
1.713984 |
1.71608 |
0 |
0 |
| AR |
1.621334 |
1.635301 |
0 |
0 |
| AZ |
1.688851 |
1.696742 |
0 |
0 |
| CA |
1.78526 |
1.820757 |
0 |
0 |
| CO |
1.680374 |
1.697976 |
0 |
0 |
| CT |
1.677352 |
1.702483 |
0 |
0 |
| DC |
1.540466 |
1.599022 |
0 |
1 |
| DE |
1.638304 |
1.680526 |
0 |
0 |
| FL |
1.74232 |
1.722447 |
1 |
0 |
| GA |
1.697802 |
1.730419 |
0 |
0 |
| HA |
1.669984 |
1.721704 |
0 |
1 |
| IA |
1.521905 |
1.556491 |
0 |
0 |
| ID |
1.601352 |
1.630355 |
0 |
0 |
| IL |
1.694076 |
1.679446 |
0 |
0 |
| IN |
1.597727 |
1.586754 |
0 |
0 |
| KS |
1.659621 |
1.677508 |
0 |
0 |
| KY |
1.685675 |
1.713899 |
0 |
0 |
| LA |
1.78526 |
1.779713 |
0 |
0 |
| MA |
1.652293 |
1.659271 |
0 |
0 |
| MD |
1.695978 |
1.718114 |
0 |
0 |
| ME |
1.488936 |
1.53352 |
0 |
0 |
| MI |
1.667945 |
1.679754 |
0 |
0 |
| MN |
1.599223 |
1.645361 |
0 |
1 |
| MO |
1.645321 |
1.660354 |
0 |
0 |
| MS |
1.75554 |
1.747693 |
0 |
0 |
| MT |
1.556618 |
1.59468 |
0 |
0 |
| NC |
1.682764 |
1.702612 |
0 |
0 |
| ND |
1.585122 |
1.588447 |
0 |
0 |
| NE |
1.576122 |
1.599016 |
0 |
0 |
| NH |
1.644537 |
1.643747 |
0 |
0 |
| NJ |
1.782012 |
1.795267 |
0 |
0 |
| NM |
1.692685 |
1.708157 |
0 |
0 |
| NV |
1.654808 |
1.639982 |
1 |
0 |
| NY |
1.67123 |
1.722826 |
0 |
1 |
| OH |
1.616727 |
1.629304 |
0 |
0 |
| OK |
1.691328 |
1.712072 |
0 |
0 |
| OR |
1.599493 |
1.66099 |
0 |
1 |
| PA |
1.631592 |
1.622539 |
0 |
0 |
| RI |
1.607543 |
1.631863 |
0 |
0 |
| SC |
1.684151 |
1.703216 |
0 |
0 |
| SD |
1.582349 |
1.564468 |
1 |
0 |
| TN |
1.692151 |
1.652914 |
1 |
0 |
| TX |
1.82462 |
1.799014 |
1 |
0 |
| UT |
1.57183 |
1.590808 |
0 |
0 |
| VA |
1.739456 |
1.756542 |
0 |
0 |
| VT |
1.532621 |
1.559679 |
0 |
0 |
| WA |
1.692329 |
1.680361 |
0 |
0 |
| WI |
1.551759 |
1.594275 |
0 |
0 |
| WV |
1.62688 |
1.616678 |
0 |
0 |
| WY |
1.638173 |
1.623514 |
0 |
0 |
Figure 4A: 90th Percentile of the Income Distribution
| Year |
Gross |
Net Overall |
Net Federal Compression |
Net_State_Compression |
| 1984 |
11.19926 |
10.77989 |
10.84954 |
11.15342 |
| 1985 |
11.23116 |
10.80418 |
10.87112 |
11.18322 |
| 1986 |
11.25477 |
10.8095 |
10.88039 |
11.20255 |
| 1987 |
11.23998 |
10.79791 |
10.87235 |
11.18947 |
| 1988 |
11.24109 |
10.80579 |
10.88409 |
11.19354 |
| 1989 |
11.26383 |
10.81527 |
10.88949 |
11.21 |
| 1990 |
11.2372 |
10.8077 |
10.87644 |
11.19635 |
| 1991 |
11.26344 |
10.8183 |
10.89011 |
11.20994 |
| 1992 |
11.27333 |
10.84251 |
10.91275 |
11.22566 |
| 1993 |
11.28868 |
10.84898 |
10.92569 |
11.24136 |
| 1994 |
11.30932 |
10.85754 |
10.9324 |
11.25667 |
| 1995 |
11.31323 |
10.86331 |
10.94339 |
11.26198 |
| 1996 |
11.32442 |
10.86639 |
10.94553 |
11.27217 |
| 1997 |
11.35219 |
10.88588 |
10.96929 |
11.30015 |
| 1998 |
11.40289 |
10.93452 |
11.0128 |
11.34803 |
| 1999 |
11.43211 |
10.9515 |
11.02853 |
11.3784 |
| 2000 |
11.4496 |
10.9621 |
11.04327 |
11.39513 |
| 2001 |
11.45138 |
10.99582 |
11.07158 |
11.40201 |
| 2002 |
11.47009 |
11.01444 |
11.09208 |
11.41454 |
| 2003 |
11.45867 |
11.05448 |
11.12496 |
11.41487 |
| 2004 |
11.44229 |
11.03508 |
11.10502 |
11.39592 |
| 2005 |
11.45207 |
11.03014 |
11.10503 |
11.3985 |
| 2006 |
11.4733 |
11.03907 |
11.11365 |
11.41236 |
| 2007 |
11.46931 |
11.04164 |
11.11332 |
11.41864 |
| 2008 |
11.46704 |
11.04007 |
11.11321 |
11.41655 |
Figure 4B: 50th Percentile of the Income Distribution
| Year |
Gross |
Net Overall |
Net Federal Compression |
Net_State_Compression |
| 1984 |
10.47758 |
10.17348 |
10.22282 |
10.44195 |
| 1985 |
10.48724 |
10.1703 |
10.22005 |
10.44343 |
| 1986 |
10.50116 |
10.1796 |
10.23088 |
10.45401 |
| 1987 |
10.47007 |
10.1531 |
10.20915 |
10.4396 |
| 1988 |
10.47027 |
10.14888 |
10.20609 |
10.43553 |
| 1989 |
10.46865 |
10.14237 |
10.20024 |
10.43414 |
| 1990 |
10.4569 |
10.12347 |
10.18195 |
10.4181 |
| 1991 |
10.49025 |
10.15071 |
10.2045 |
10.44011 |
| 1992 |
10.46979 |
10.15217 |
10.20964 |
10.43609 |
| 1993 |
10.47181 |
10.14553 |
10.20085 |
10.42946 |
| 1994 |
10.4827 |
10.15839 |
10.21719 |
10.44445 |
| 1995 |
10.48312 |
10.15018 |
10.21474 |
10.43952 |
| 1996 |
10.50082 |
10.1578 |
10.2193 |
10.45363 |
| 1997 |
10.51309 |
10.17128 |
10.23252 |
10.46871 |
| 1998 |
10.53233 |
10.19835 |
10.25833 |
10.49014 |
| 1999 |
10.54322 |
10.2224 |
10.27213 |
10.52084 |
| 2000 |
10.55373 |
10.21174 |
10.27763 |
10.51513 |
| 2001 |
10.57591 |
10.25117 |
10.30435 |
10.52501 |
| 2002 |
10.56183 |
10.24364 |
10.30101 |
10.51482 |
| 2003 |
10.55952 |
10.26493 |
10.32206 |
10.52345 |
| 2004 |
10.53094 |
10.24062 |
10.29597 |
10.49661 |
| 2005 |
10.53578 |
10.22972 |
10.2892 |
10.49201 |
| 2006 |
10.55701 |
10.24461 |
10.30185 |
10.50988 |
| 2007 |
10.55302 |
10.24594 |
10.3065 |
10.51237 |
| 2008 |
10.55933 |
10.24404 |
10.30238 |
10.51921 |
Figure 4C: 10th Percentile of the Income Distribution
| Year |
Gross |
Net Overall |
Net Federal Compression |
Net_State_Compression |
| 1984 |
9.644282 |
9.409205 |
9.46327 |
9.60041 |
| 1985 |
9.612773 |
9.395343 |
9.443071 |
9.579459 |
| 1986 |
9.601869 |
9.384278 |
9.427422 |
9.567078 |
| 1987 |
9.613919 |
9.373095 |
9.426253 |
9.568898 |
| 1988 |
9.610072 |
9.355945 |
9.422114 |
9.555624 |
| 1989 |
9.608085 |
9.35793 |
9.412736 |
9.560027 |
| 1990 |
9.6096 |
9.35867 |
9.41896 |
9.556726 |
| 1991 |
9.573956 |
9.360819 |
9.41477 |
9.5442 |
| 1992 |
9.610072 |
9.388337 |
9.440763 |
9.569331 |
| 1993 |
9.602768 |
9.383693 |
9.42373 |
9.562236 |
| 1994 |
9.581917 |
9.36043 |
9.411494 |
9.536639 |
| 1995 |
9.584412 |
9.388722 |
9.440329 |
9.55222 |
| 1996 |
9.613519 |
9.400017 |
9.43858 |
9.578201 |
| 1997 |
9.631893 |
9.406417 |
9.462831 |
9.592202 |
| 1998 |
9.656857 |
9.430768 |
9.480045 |
9.605814 |
| 1999 |
9.640354 |
9.426943 |
9.481299 |
9.609405 |
| 2000 |
9.655026 |
9.43378 |
9.490406 |
9.612135 |
| 2001 |
9.687721 |
9.498543 |
9.540904 |
9.648241 |
| 2002 |
9.684757 |
9.494704 |
9.541052 |
9.649499 |
| 2003 |
9.686509 |
9.505455 |
9.550263 |
9.65861 |
| 2004 |
9.660384 |
9.494048 |
9.536988 |
9.644395 |
| 2005 |
9.670546 |
9.47681 |
9.507844 |
9.641264 |
| 2006 |
9.663196 |
9.478359 |
9.512323 |
9.639707 |
| 2007 |
9.690793 |
9.491304 |
9.530402 |
9.654055 |
| 2008 |
9.709184 |
9.483216 |
9.526784 |
9.655703 |
Figure 4D: 90/10 Split of the Income Distribution
| Year |
Gross |
Net Overall |
Net Federal Compression |
Net_State_Compression |
| 1984 |
1.554981 |
1.370681 |
1.386271 |
1.55301 |
| 1985 |
1.618389 |
1.408833 |
1.428052 |
1.603765 |
| 1986 |
1.652905 |
1.425218 |
1.452971 |
1.635474 |
| 1987 |
1.626058 |
1.424812 |
1.446098 |
1.620576 |
| 1988 |
1.631021 |
1.449841 |
1.461976 |
1.637916 |
| 1989 |
1.655744 |
1.457336 |
1.476753 |
1.649971 |
| 1990 |
1.627604 |
1.44903 |
1.457483 |
1.639625 |
| 1991 |
1.689481 |
1.45748 |
1.475343 |
1.665741 |
| 1992 |
1.66326 |
1.454171 |
1.471984 |
1.656326 |
| 1993 |
1.685914 |
1.465287 |
1.501957 |
1.679125 |
| 1994 |
1.727399 |
1.497111 |
1.520907 |
1.720036 |
| 1995 |
1.728822 |
1.474587 |
1.503061 |
1.70976 |
| 1996 |
1.710898 |
1.466377 |
1.506948 |
1.693972 |
| 1997 |
1.7203 |
1.479461 |
1.506463 |
1.707947 |
| 1998 |
1.74603 |
1.503753 |
1.532755 |
1.742212 |
| 1999 |
1.791759 |
1.524556 |
1.547228 |
1.768991 |
| 2000 |
1.794576 |
1.528321 |
1.552867 |
1.782995 |
| 2001 |
1.763659 |
1.497273 |
1.530676 |
1.753773 |
| 2002 |
1.785329 |
1.51974 |
1.551025 |
1.765045 |
| 2003 |
1.772157 |
1.549028 |
1.574698 |
1.756255 |
| 2004 |
1.781907 |
1.541027 |
1.568036 |
1.75152 |
| 2005 |
1.781527 |
1.553329 |
1.597185 |
1.757238 |
| 2006 |
1.810109 |
1.560711 |
1.601322 |
1.772656 |
| 2007 |
1.778514 |
1.550337 |
1.582919 |
1.764587 |
| 2008 |
1.757858 |
1.556857 |
1.586429 |
1.760852 |
Figure 4E: 90/50 Split of the Income Distribution
| Year |
Gross |
Net Overall |
Net Federal Compression |
Net_State_Compression |
| 1984 |
0.7216806 |
0.606411 |
0.6267223 |
0.7114668 |
| 1985 |
0.7439194 |
0.6338749 |
0.6510687 |
0.7397966 |
| 1986 |
0.7536163 |
0.6298923 |
0.6495142 |
0.7485456 |
| 1987 |
0.7699089 |
0.644805 |
0.6632061 |
0.7498713 |
| 1988 |
0.7708206 |
0.6569004 |
0.6780024 |
0.7580051 |
| 1989 |
0.7951803 |
0.6728964 |
0.6892443 |
0.7758627 |
| 1990 |
0.7803068 |
0.6842327 |
0.6944971 |
0.7782488 |
| 1991 |
0.7731895 |
0.6675901 |
0.6856174 |
0.7698259 |
| 1992 |
0.8035393 |
0.6903391 |
0.7031059 |
0.7895689 |
| 1993 |
0.8168764 |
0.7034502 |
0.7248383 |
0.8119001 |
| 1994 |
0.8266125 |
0.6991558 |
0.7152166 |
0.8122244 |
| 1995 |
0.8301134 |
0.7131281 |
0.7286472 |
0.8224649 |
| 1996 |
0.823595 |
0.7085905 |
0.7262306 |
0.8185444 |
| 1997 |
0.8391008 |
0.7146025 |
0.7367706 |
0.8314342 |
| 1998 |
0.8705606 |
0.736166 |
0.7544708 |
0.8578892 |
| 1999 |
0.8888912 |
0.7290964 |
0.7563944 |
0.8575563 |
| 2000 |
0.895875 |
0.7503633 |
0.7656479 |
0.8800049 |
| 2001 |
0.8754692 |
0.7446442 |
0.7672281 |
0.8769999 |
| 2002 |
0.9082584 |
0.7708063 |
0.7910671 |
0.8997202 |
| 2003 |
0.8991423 |
0.7895527 |
0.8029051 |
0.8914156 |
| 2004 |
0.9113522 |
0.7944584 |
0.8090544 |
0.8993073 |
| 2005 |
0.9162903 |
0.800416 |
0.8158302 |
0.9064894 |
| 2006 |
0.9162912 |
0.7944584 |
0.8117971 |
0.9024878 |
| 2007 |
0.9162903 |
0.7956972 |
0.8068256 |
0.9062691 |
| 2008 |
0.9077072 |
0.7960329 |
0.8108368 |
0.8973475 |
Figure 4F: 50/10 Split of the Income Distribution
| Year |
Gross |
Net Overall |
Net Federal Compression |
Net State Compression |
| 1984 |
0.8333006 |
0.7642698 |
0.7595491 |
0.8415432 |
| 1985 |
0.8744698 |
0.7749577 |
0.7769833 |
0.8639688 |
| 1986 |
0.8992882 |
0.7953253 |
0.8034573 |
0.8869286 |
| 1987 |
0.8561487 |
0.7800074 |
0.7828922 |
0.8707047 |
| 1988 |
0.8602009 |
0.7929401 |
0.7839737 |
0.8799105 |
| 1989 |
0.8605633 |
0.78444 |
0.787509 |
0.8741083 |
| 1990 |
0.8472977 |
0.7647972 |
0.7629862 |
0.8613758 |
| 1991 |
0.9162912 |
0.7898903 |
0.7897253 |
0.895915 |
| 1992 |
0.8597202 |
0.7638321 |
0.768878 |
0.8667574 |
| 1993 |
0.8690376 |
0.761837 |
0.7771187 |
0.8672247 |
| 1994 |
0.9007864 |
0.7979555 |
0.8056908 |
0.9078112 |
| 1995 |
0.8987083 |
0.7614594 |
0.7744141 |
0.8872948 |
| 1996 |
0.8873034 |
0.7577868 |
0.7807178 |
0.8754272 |
| 1997 |
0.8811989 |
0.7648582 |
0.7696924 |
0.8765125 |
| 1998 |
0.8754692 |
0.7675867 |
0.7782841 |
0.8843231 |
| 1999 |
0.9028683 |
0.7954597 |
0.7908335 |
0.9114342 |
| 2000 |
0.8987007 |
0.7779579 |
0.787219 |
0.9029903 |
| 2001 |
0.8881893 |
0.7526293 |
0.7634478 |
0.8767729 |
| 2002 |
0.8770704 |
0.7489338 |
0.7599583 |
0.865325 |
| 2003 |
0.8730145 |
0.7594757 |
0.7717934 |
0.8648396 |
| 2004 |
0.8705549 |
0.7465687 |
0.7589817 |
0.8522129 |
| 2005 |
0.8652363 |
0.7529125 |
0.7813549 |
0.850749 |
| 2006 |
0.8938179 |
0.7662525 |
0.789525 |
0.8701687 |
| 2007 |
0.8622236 |
0.7546396 |
0.7760935 |
0.8583183 |
| 2008 |
0.8501511 |
0.7608242 |
0.7755919 |
0.8635044 |
Figure 5A: Change in the 90/10 Income Split 1984-86 vs 2006-08
| State |
20-year_Change_in_90/10_Gross Income_Split |
20-year_Change_in_90/10_Net Income_Split |
| AL |
0.1542625 |
0.1550789 |
| AK |
0.0419779 |
0.0765753 |
| AZ |
0.137805 |
0.0941057 |
| AR |
0.2819309 |
0.1389189 |
| CA |
0.2138996 |
0.1772575 |
| CO |
0.2224379 |
0.1878204 |
| CT |
0.1745701 |
0.076745 |
| DE |
0.1526194 |
0.1464815 |
| DC |
0.0855904 |
0.0042534 |
| FL |
0.153595 |
0.1231184 |
| GA |
0.1481085 |
0.0988464 |
| HA |
-0.0067492 |
-0.0172272 |
| ID |
0.2304754 |
0.1410532 |
| IL |
0.2250166 |
0.200489 |
| IN |
0.2091866 |
0.180192 |
| IA |
0.2497864 |
0.2077484 |
| KS |
0.1708755 |
0.1254711 |
| KY |
0.2980452 |
0.2378082 |
| LA |
0.2431011 |
0.169014 |
| ME |
0.1725798 |
0.129097 |
| MD |
0.1445446 |
0.1253767 |
| MA |
0.4325581 |
0.3744497 |
| MI |
0.1542149 |
0.1260605 |
| MN |
0.2732077 |
0.2522726 |
| MS |
0.1592779 |
0.0670128 |
| MO |
0.1714716 |
0.1400537 |
| MT |
-0.0181332 |
0.0181007 |
| NE |
0.2670498 |
0.1897812 |
| NV |
0.0204287 |
0.0147448 |
| NH |
0.2374487 |
0.1800861 |
| NJ |
0.3856602 |
0.2821522 |
| NM |
0.1614895 |
0.1095266 |
| NY |
0.2507467 |
0.2308149 |
| NC |
0.1329899 |
0.0900545 |
| ND |
0.2471056 |
0.2328815 |
| OH |
0.2098608 |
0.1752138 |
| OK |
0.0330267 |
0.0127268 |
| OR |
0.1793365 |
0.1139002 |
| PA |
0.2186184 |
0.1560087 |
| RI |
0.2988443 |
0.2223063 |
| SC |
-0.0186548 |
-0.0185223 |
| SD |
0.1907225 |
0.1320753 |
| TN |
0.1134377 |
0.0866919 |
| TX |
0.1707649 |
0.1459208 |
| UT |
0.1408081 |
0.1130409 |
| VT |
0.1241674 |
0.0864487 |
| VA |
0.2659998 |
0.2080631 |
| WA |
0.2677269 |
0.2171211 |
| WV |
0.1586857 |
0.1289845 |
| WI |
0.2110872 |
0.1778049 |
| WY |
0.1939411 |
0.1983633 |
Figure 5B: Change in the 90/10 Income Split 1984-86 vs 2006-08 (Fed Comp.)
| State |
20-year Change in 90/10 Gross Income Split |
20-year_Change_in_90/10_Net Income_Split |
| AL |
0.1542625 |
0.1795235 |
| AK |
0.0419779 |
0.0717373 |
| AZ |
0.137805 |
0.0911007 |
| AR |
0.2819309 |
0.217453 |
| CA |
0.2138996 |
0.2017221 |
| CO |
0.2224379 |
0.1829481 |
| CT |
0.1745701 |
0.1690197 |
| DE |
0.1526194 |
0.130064 |
| DC |
0.0855904 |
0.0282536 |
| FL |
0.153595 |
0.1361303 |
| GA |
0.1481085 |
0.1282387 |
| HA |
-0.0067492 |
-0.0246286 |
| ID |
0.2304754 |
0.1667328 |
| IL |
0.2250166 |
0.2094107 |
| IN |
0.2091866 |
0.1919079 |
| IA |
0.2497864 |
0.2121563 |
| KS |
0.1708755 |
0.1482964 |
| KY |
0.2980452 |
0.255578 |
| LA |
0.2431011 |
0.1891928 |
| ME |
0.1725798 |
0.1814861 |
| MD |
0.1445446 |
0.1459522 |
| MA |
0.4325581 |
0.3703766 |
| MI |
0.1542149 |
0.1549854 |
| MN |
0.2732077 |
0.2569847 |
| MS |
0.1592779 |
0.1351328 |
| MO |
0.1714716 |
0.15415 |
| MT |
-0.0181332 |
0.0340996 |
| NE |
0.2670498 |
0.2185345 |
| NV |
0.0204287 |
0.0530024 |
| NH |
0.2374487 |
0.1860743 |
| NJ |
0.3856602 |
0.328495 |
| NM |
0.1614895 |
0.1380377 |
| NY |
0.2507467 |
0.2156544 |
| NC |
0.1329899 |
0.1131277 |
| ND |
0.2471056 |
0.2268105 |
| OH |
0.2098608 |
0.1888542 |
| OK |
0.0330267 |
0.0198174 |
| OR |
0.1793365 |
0.175415 |
| PA |
0.2186184 |
0.1725798 |
| RI |
0.2988443 |
0.2616329 |
| SC |
-0.0186548 |
0.0024014 |
| SD |
0.1907225 |
0.1554909 |
| TN |
0.1134377 |
0.1287689 |
| TX |
0.1707649 |
0.1492195 |
| UT |
0.1408081 |
0.1308327 |
| VT |
0.1241674 |
0.0979738 |
| VA |
0.2659998 |
0.2421007 |
| WA |
0.2677269 |
0.2323532 |
| WV |
0.1586857 |
0.1130371 |
| WI |
0.2110872 |
0.1991844 |
| WY |
0.1939411 |
0.2045593 |
Figure 5C: Change in the 90/10 Income Split 1984-86 vs 2006-08 (State Comp.)
| State |
20-year Change in 90/10 Gross Income Split |
20-year Change in 90/10 Net Income Split |
| AL |
0.1542625 |
0.1329155 |
| AK |
0.0419779 |
0.0433598 |
| AZ |
0.137805 |
0.131382 |
| AR |
0.2819309 |
0.2173548 |
| CA |
0.2138996 |
0.1929026 |
| CO |
0.2224379 |
0.2061901 |
| CT |
0.1745701 |
0.0923262 |
| DE |
0.1526194 |
0.1585684 |
| DC |
0.0855904 |
0.0461893 |
| FL |
0.153595 |
0.1340981 |
| GA |
0.1481085 |
0.1278267 |
| HA |
-0.0067492 |
-0.057889 |
| ID |
0.2304754 |
0.1902657 |
| IL |
0.2250166 |
0.2072029 |
| IN |
0.2091866 |
0.2188654 |
| IA |
0.2497864 |
0.2444706 |
| KS |
0.1708755 |
0.1357212 |
| KY |
0.2980452 |
0.2715626 |
| LA |
0.2431011 |
0.224185 |
| ME |
0.1725798 |
0.1499681 |
| MD |
0.1445446 |
0.1206198 |
| MA |
0.4325581 |
0.4163446 |
| MI |
0.1542149 |
0.1294641 |
| MN |
0.2732077 |
0.2746878 |
| MS |
0.1592779 |
0.1071196 |
| MO |
0.1714716 |
0.1475248 |
| MT |
-0.0181332 |
-0.021306 |
| NE |
0.2670498 |
0.2047987 |
| NV |
0.0204287 |
0.0088215 |
| NH |
0.2374487 |
0.205533 |
| NJ |
0.3856602 |
0.3471003 |
| NM |
0.1614895 |
0.1218586 |
| NY |
0.2507467 |
0.2484112 |
| NC |
0.1329899 |
0.1013775 |
| ND |
0.2471056 |
0.2545662 |
| OH |
0.2098608 |
0.2015314 |
| OK |
0.0330267 |
0.0273113 |
| OR |
0.1793365 |
0.1448011 |
| PA |
0.2186184 |
0.1984644 |
| RI |
0.2988443 |
0.2696018 |
| SC |
-0.0186548 |
-0.0307446 |
| SD |
0.1907225 |
0.1633635 |
| TN |
0.1134377 |
0.0988855 |
| TX |
0.1707649 |
0.1516781 |
| UT |
0.1408081 |
0.0984287 |
| VT |
0.1241674 |
0.0835238 |
| VA |
0.2659998 |
0.2593708 |
| WA |
0.2677269 |
0.2530556 |
| WV |
0.1586857 |
0.145277 |
| WI |
0.2110872 |
0.1992588 |
| WY |
0.1939411 |
0.1772881 |
Figure 6A: 90/10 Split of the Income Distribution (Tax Code Fixed)
| Year |
Gross |
Net Overall |
Net 2008 Tax Code |
Net 1988 Tax Code |
| 1984 |
1.554981 |
1.370681 |
1.370681 |
1.424323 |
| 1985 |
1.618389 |
1.408833 |
1.408833 |
1.464022 |
| 1986 |
1.652905 |
1.425218 |
1.425218 |
1.479918 |
| 1987 |
1.626058 |
1.424812 |
1.424812 |
1.4504 |
| 1988 |
1.631021 |
1.449841 |
1.449841 |
1.467293 |
| 1989 |
1.655744 |
1.457336 |
1.457336 |
1.469649 |
| 1990 |
1.627604 |
1.44903 |
1.44903 |
1.463339 |
| 1991 |
1.689481 |
1.45748 |
1.45748 |
1.47636 |
| 1992 |
1.66326 |
1.454171 |
1.454171 |
1.471968 |
| 1993 |
1.685914 |
1.465287 |
1.465287 |
1.480779 |
| 1994 |
1.727399 |
1.497111 |
1.497111 |
1.523809 |
| 1995 |
1.728822 |
1.474587 |
1.474587 |
1.504513 |
| 1996 |
1.710898 |
1.466377 |
1.466377 |
1.4997 |
| 1997 |
1.7203 |
1.479461 |
1.479461 |
1.513252 |
| 1998 |
1.74603 |
1.503753 |
1.503753 |
1.528611 |
| 1999 |
1.791759 |
1.524556 |
1.524556 |
1.546108 |
| 2000 |
1.794576 |
1.528321 |
1.528321 |
1.550499 |
| 2001 |
1.763659 |
1.497273 |
1.497273 |
1.519292 |
| 2002 |
1.785329 |
1.51974 |
1.51974 |
1.541615 |
| 2003 |
1.772157 |
1.549028 |
1.549028 |
1.533958 |
| 2004 |
1.781907 |
1.541027 |
1.541027 |
1.529352 |
| 2005 |
1.781527 |
1.553329 |
1.553329 |
1.543777 |
| 2006 |
1.810109 |
1.560711 |
1.560711 |
1.553359 |
| 2007 |
1.778514 |
1.550337 |
1.550337 |
1.544803 |
| 2008 |
1.757858 |
1.556857 |
1.556857 |
1.556945 |
Figure 6B: 90/10 Split of the Income Distribution (Income Distribution Held Fixed)
| Year |
Gross |
Net Overall |
Net 2008 Income |
Net 1988 Income |
| 1984 |
1.555 |
1.371 |
1.495 |
1.405 |
| 1985 |
1.618 |
1.409 |
1.504 |
1.415 |
| 1986 |
1.653 |
1.425 |
1.497 |
1.420 |
| 1987 |
1.626 |
1.425 |
1.521 |
1.435 |
| 1988 |
1.631 |
1.450 |
1.554 |
1.445 |
| 1989 |
1.656 |
1.457 |
1.550 |
1.441 |
| 1990 |
1.628 |
1.449 |
1.546 |
1.439 |
| 1991 |
1.689 |
1.457 |
1.544 |
1.440 |
| 1992 |
1.663 |
1.454 |
1.541 |
1.437 |
| 1993 |
1.686 |
1.465 |
1.536 |
1.433 |
| 1994 |
1.727 |
1.497 |
1.538 |
1.429 |
| 1995 |
1.729 |
1.475 |
1.531 |
1.427 |
| 1996 |
1.711 |
1.466 |
1.526 |
1.428 |
| 1997 |
1.720 |
1.479 |
1.538 |
1.431 |
| 1998 |
1.746 |
1.504 |
1.551 |
1.441 |
| 1999 |
1.792 |
1.525 |
1.558 |
1.439 |
| 2000 |
1.795 |
1.528 |
1.543 |
1.437 |
| 2001 |
1.764 |
1.497 |
1.538 |
1.433 |
| 2002 |
1.785 |
1.520 |
1.641 |
1.438 |
| 2003 |
1.772 |
1.549 |
1.571 |
1.455 |
| 2004 |
1.782 |
1.541 |
1.656 |
1.450 |
| 2005 |
1.782 |
1.553 |
1.564 |
1.453 |
| 2006 |
1.810 |
1.561 |
1.560 |
1.451 |
| 2007 |
1.779 |
1.550 |
1.643 |
1.450 |
| 2008 |
1.758 |
1.557 |
1.556 |
1.451 |
Figure 7: 90/10 Split of the Income Distriubtion (Counterfactual State Tax Schemes)
| Year |
Gross |
Net Overall |
Net all CA |
Net all TN |
| 1984 |
1.554981 |
1.370681 |
1.36022 |
1.414766 |
| 1985 |
1.618389 |
1.408833 |
1.396715 |
1.455683 |
| 1986 |
1.652905 |
1.425218 |
1.415627 |
1.480889 |
| 1987 |
1.626058 |
1.424812 |
1.405734 |
1.484208 |
| 1988 |
1.631021 |
1.449841 |
1.431441 |
1.511491 |
| 1989 |
1.655744 |
1.457336 |
1.437714 |
1.513869 |
| 1990 |
1.627604 |
1.44903 |
1.427582 |
1.502812 |
| 1991 |
1.689481 |
1.45748 |
1.442484 |
1.518326 |
| 1992 |
1.66326 |
1.454171 |
1.433081 |
1.503959 |
| 1993 |
1.685914 |
1.465287 |
1.443636 |
1.520196 |
| 1994 |
1.727399 |
1.497111 |
1.473197 |
1.549237 |
| 1995 |
1.728822 |
1.474587 |
1.452299 |
1.53078 |
| 1996 |
1.710898 |
1.466377 |
1.445608 |
1.518507 |
| 1997 |
1.7203 |
1.479461 |
1.458522 |
1.547052 |
| 1998 |
1.74603 |
1.503753 |
1.475162 |
1.559103 |
| 1999 |
1.791759 |
1.524556 |
1.499502 |
1.587394 |
| 2000 |
1.794576 |
1.528321 |
1.499715 |
1.587143 |
| 2001 |
1.763659 |
1.497273 |
1.471204 |
1.553451 |
| 2002 |
1.785329 |
1.51974 |
1.494425 |
1.576209 |
| 2003 |
1.772157 |
1.549028 |
1.51926 |
1.601774 |
| 2004 |
1.781907 |
1.541027 |
1.504669 |
1.586239 |
| 2005 |
1.781527 |
1.553329 |
1.527652 |
1.61272 |
| 2006 |
1.810109 |
1.560711 |
1.533819 |
1.615108 |
| 2007 |
1.778514 |
1.550337 |
1.518516 |
1.60289 |
| 2008 |
1.757858 |
1.556857 |
1.523679 |
1.612062 |