3 ms·
What? No, the Laffer curve already describes that. And best approximations of the rate at which the incentive to shirk taxes is so high as to lower total reven
by vagabund 4y ago
What? No, the Laffer curve already describes that. And best approximations of the rate at which the incentive to shirk taxes is so high as to lower total revenue are nowhere near where rates sit now, basically everywhere.
- 2Crisp 4y agoNo. The Laffer curve is about taxable income elasticity. It says nothing about the practical challenge of tracking taxes owed and actually collecting them in a cash based system as the parent was suggesting
- vagabund 4y agoIs tax avoidance/evasion not a part of taxable income elasticity? My understanding was that it is
- 2Crisp 4y agoI suppose it could be fine to include it that way... Ie. A cash based world where tax evasion is harder to detect would have higher elasticity of taxable income. It's also true that the model does not require any tax evasion at all.
- namaria 4y agoDon't mistake the map for the territory. Model behavior proves nothing.