Where the Money Is

Does the Middle Class Have All the Money?
May 12, 2011

I've been writing a lot about the Wall Street Journal's arithmetically incorrect editorial claiming that the total income of the rich isn't enough to close the budget deficit. There's another part of the argument I let slide because it was merely misleading rather than outright false: So who else is there to tax? Well, in 2008, there was about $5.65 trillion in total taxable income from all individual taxpayers, and most of that came from middle income earners.