War and Taxes
Sacrifice and Self-Indulgence
on the American Homefront
A new book by Steven A. Bank, Kirk J. Stark, and Joseph J. Thorndike. Published by the Urban Institute Press.
During World War II, Americans were urged to ration food, save money, and pay higher taxes. After September 11, 2001 they were told to go shopping, keep spending, and enjoy a sweeping tax cut.
Have political leaders abandoned America’s noble tradition of homefront sacrifice? Or have they simply adapted to economic and social realities that make sacrifice unnecessary?
In a new book from the Urban Institute Press, authors Steven A. Bank, Kirk J. Stark, and Joseph J. Thorndike tell the story of American homefront sacrifice, beginning with the Revolutionary War and continuing through the War of 1812, the Civil War, World Wars I and II, and the undeclared wars in Korea, Vietnam, Afghanistan, and Iraq.
Bank, Stark, and Thorndike conclude that recent tax cuts mark a break with tradition: never before have so many Americans enjoyed sweeping tax cuts in the midst of a war. But the authors warn against any temptation to mythologize the nation's fiscal history. Past generations accepted heavy wartime taxes as the price of freedom and security. But they also resisted and complained about those taxes. Politicians of the past -- like their successors today -- made room for self-indulgence amid the sacrifice.
About the Authors
Steven A. Bank and Kirk J. Stark are professors at the University of California, Los Angeles, School of Law. Joseph J. Thorndike is director of the Tax History Project at Tax Analysts and a scholar in residence at the University of Virginia.
© 2008 Steven A. Bank, Kirk J. Stark, and Joseph J. Thorndike. All Rights Reserved.
Advance Praise for War and Taxes
“Rarely does a work of history illuminate the present as much as War and Taxes. This fascinating account of the politics of American wartime taxation from the Revolution through the Iraq conflict shows that the Bush administration’s policy of cutting taxes while waging war marks an abrupt departure from the strong, but often fiercely contested, American tradition of fiscal sacrifice. It’s a must-read for those interested in taxation, war,
and how each shapes the other.”
Joel Slemrod, Paul W. McCracken Collegiate Professor of Business Economics and Public Policy and Director, Office of Tax Policy Research, University of Michigan
