Economic and Social Conditions
Unlike the New Deal, which was a response to a severe financial and economic calamity, the Great Society initiatives came just as the United States' post-World War II prosperity was starting to fade, but before the coming decline was being felt by the middle and upper classes. President Kennedy proposed an across-the-board tax cut lowering the top marginal rate by 20%, from 91% to 71%, which was enacted in February 1964 under President Johnson (three months after Kennedy's assassination). The tax cut also significantly reduced marginal rates in the lower brackets as well as for corporations. The gross national product rose 10% in the first year of the tax cut, and economic growth averaged a rate of 4.5% from 1961 to 1968.
Disposable personal income rose 15% in 1966 alone. Federal revenues increased dramatically from $94 billion in 1961 to $150 billion in 1967. As the Baby Boom generation aged, two and a half times more Americans would enter the labor force between 1965 and 1980 than had between 1950 and 1965.
Read more about this topic: Great Society
Famous quotes containing the words economic, social and/or conditions:
“The Federated Republic of Europe—the United States of Europe—that is what must be. National autonomy no longer suffices. Economic evolution demands the abolition of national frontiers. If Europe is to remain split into national groups, then Imperialism will recommence its work. Only a Federated Republic of Europe can give peace to the world.”
—Leon Trotsky (1879–1940)
“Despair, feeding, as it always does, on phantasmagoria, is imperturbably leading literature to the rejection, en masse, of all divine and social laws, towards practical and theoretical evil.”
—Isidore Ducasse, Comte de Lautréamont (1846–1870)
“When and under what conditions is the black man to have a free ballot? When is he in fact to have those full civil rights which have so long been his in law?”
—Benjamin Harrison (1833–1901)