Obama’s proposal to raise taxes on highest earners: Been there, done that
Prior to the start of the Depression, Hoover’s first Treasury Secretary, Andrew Mellon, had proposed, and saw enacted, numerous tax cuts which cut the top income tax rate from 73% to 24%. As the depression worsened, Congress, desperate to increase federal revenue, enacted the Revenue Act of 1932. The Act increased taxes across the board, and the percentage increased with income, to near pre-1928 levels for top income earners. It also implemented a 13.75% tax on corporations. The unintended result of the Act, was decreased spending among consumers and businesses alike, and the country sank deeper still into the Great Depression.
Perhaps Hoover can be blamed for signing this legislation but we are not going to say “Barack Obama Equals Herbert Hoover.” Barack Hussein Obama is not and never will be a hundredth of the man Hoover was. When he and his wife Lou Henry were trapped in Tianjin during the Boxer Rebellion, Hoover used his engineering skills to direct the construction of barricades, and he allegedly risked his life to rescue Chinese children. His wife meanwhile performed volunteer work in the hospital. Then there was his humanitarian work during and after the First World War:
Hoover worked 14-hour days from London for the next two years administering the distribution of over two and half million tons of foodstuffs to nine million war victims. In an early form of shuttle diplomacy, he crossed the North Sea forty times to persuade the enemies in Berlin to allow food to reach the war’s victims. …The Belgian city of Leuven named a prominent square after him. In honor of his two years of humanitarian work, the Finns added the word hoover, meaning “to help,” to their language.