Question: The Kennedy-Johnson tax cut reduced personal income tax rates by 20% during 1964 and 1965; the personal saving rate was virtually unchanged from 1963.4 to 1965.4. The Reagan tax cut reduced personal income tax rates by 25% in 1982 and 1983; the personal saving rate fell sharply over that period. Why did the saving rate fall after the Reagan tax cut but not after the Kennedy-Johnson tax cut?