Ray Madoff, a Boston College law professor, has written a new book: “The Second Estate: How the Tax Code Made an American Aristocracy.” She recently spoke to Kara Miller, host of the podcast “It Turns Out,” about how the American tax system has changed over the past 40 years, widening inequality. Below is a condensed and edited version of the interview.

Miller: Mark Zuckerberg was the lowest-paid employee at Meta in 2024, and he made US$1. But he is not the only very rich person who has collected $1 for a year’s work. Why would incredibly rich CEOs make only $1 a year when they could pay themselves millions?

Madoff: The reason is taxes. Income from work is the most heavily taxed type of income, as it is subject to both income and payroll taxes. A self-employed person who makes a modest income of $60,000 will pay over $13,000 of it in payroll and income taxes. Meanwhile, high-income earners who earn a $400,000 salary can pay about 30% of their income in payroll and income taxes.