Similar to the Progressives, Wilson supported
A. establishing a graduated income tax.
B. raising tariffs in order to protect US businesses.
C. limiting workers’ rights in order to protect businesses.
D. lowering government restrictions on banks.
The Correct Answer and Explanation is :
The correct answer is A. establishing a graduated income tax.
Explanation:
Woodrow Wilson, the 28th President of the United States, aligned closely with the progressive movement, particularly in his domestic policies. The Progressives were concerned with the excesses of industrialization, monopolies, and political corruption, advocating for reforms that would promote fairness, justice, and economic equality. Wilson’s administration embraced many of these reform ideals, with one of his major accomplishments being the establishment of a graduated income tax.
A graduated income tax is a tax system where the tax rate increases as the taxable income increases. This was seen as a way to ensure that wealthier individuals contributed more to government revenue, thus promoting economic fairness. Wilson supported this tax policy as part of his broader agenda to make the tax system more equitable and to reduce the dependence on tariffs as the main source of federal revenue. In 1913, Wilson’s administration helped pass the 16th Amendment, which legalized the federal income tax, and the Revenue Act of 1913, which reintroduced a graduated income tax system.
This progressive measure sought to reduce the economic inequalities that were prevalent during the Gilded Age, when the wealthiest individuals and corporations paid a disproportionate share of taxes compared to average citizens. The graduated income tax was seen as a means to promote fairness by taxing individuals based on their ability to pay, in contrast to regressive taxes like tariffs, which disproportionately impacted lower-income citizens.
Wilson’s push for this tax reform was in line with the broader Progressive agenda, which also included the regulation of business practices, support for labor rights, and political reforms designed to reduce corruption. The graduated income tax became a cornerstone of progressive economic policy, and it remains a key feature of the U.S. tax system today.