Relationship between tax rates and revenues

Laffer Curve - Learn How Tax Rates and Tax Revenues are Related

relationship between tax rates and revenues

In its most general form, the Laffer curve depicts the relationship between tax rates and the revenue the government receives–that is, a single tax rate exists that. debate about the possibility of an inverse relationship between tax rates and government revenue. Pictured in figure , the Laffer curve plots total revenue. Since the mids, there has been discussion regarding the relationship between high marginal tax rates and tax revenues. According to the Laffer Curve, .

  • Laffer curve
  • Laffer Curve
  • The Relationship between Tax Rates and Government Revenue

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relationship between tax rates and revenues

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