Report
Fact-based, data-driven research and analysis to advance democratic debate on vital issues shaping people’s lives.
Center for Economic and Policy Research
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July 2001, Dean Baker
The report provides an approximation of the redistribution that would result from the U.S. government’s decision to default on the Social Security trust fund. Since such a default implies replacing progressive income taxes with a very regressive payroll tax, it leads to a substantial upward redistribution of income.