In a sharp break from that campaign stance and the Administration's first three budgets, President Obama is now calling for an all-in dividend tax rate of almost 45 percent, the highest rate in 27 years. The president's about-face bodes ill for the economy.

The president's actions after taking office have not matched his campaign rhetoric, as many Americans now face tax increases that will make them less likely to invest.

The gap between the economic elite and the lower classappears tobegrowing.

Media inquiries: Véronique Rodman202.862.4871 (vrodman@aei.org)

FOR IMMEDIATE RELEASE: Friday, January 4, 2008

James K. Glassman, editor-in-chief of The American magazine, announced today that Raj Chetty, an associate professor of economics at the University of California, Berkeley, is the winner of...

Education is the key to understanding broad inequality trends.

The upward trend in income inequality prior to 1993 significantly slowed thereafter once researchers controlled for top coding in the public use data and censoring in the internal data.

If President Obama is interested in promoting growth now and in the future, he should commit to retaining the low tax rates Congress passed in 2003.