““Many ordinary Americans believe that “large differences in income are necessary for America’s prosperity,” as one standard survey question puts it.18 However, economists who have studied the relationship between inequality and economic growth have found little evidence that large disparities in income and wealth promote growth.19 There is not even much hard evidence in support of the commonsense notion that progressive tax rates retard growth by discouraging economic effort. Indeed, one liberal economist, Robert Frank, has written that “the lessons of experience are downright brutal” to the notion that higher taxes would stifle economic growth by causing wealthy people to work less or take fewer risks.””
