Laffer Curve

[Kingpoleon]

The main thing to note is that applies less/more gradually to income taxes than it does to sales/VAT or corporate taxes.

[Kingpoleon]

I'm not an economist, but I suspect it's probably wrong and useless. The idea that the entire tax code and it's effect on the economy (and therefore the revenue taxes bring in) can be put into a neat little curve is preposterous.

You really don’t understand mathematics? At the end of the day, quantifiable data has correlation and causation. The curve is not comparative from year to year: it is relative to one budget year only, and as such is completely accurate due to the fact that it lacks specific numbers and is based upon a relatively similar economic situation regardless of taxes.

[Kingpoleon]

Obviously you gain revenue from going from 99% to 98% tax rates, but our rates are nowhere near where you'd gain revenue by lower tax rates.

If we went to 7%/12%/25%/35%/45%/50%, then we would see higher revenue - partially from the cuts in the lowest tax brackets. Corporate rates could be 12%/23%/34%/45%, and it would do something similar.

[Kingpoleon]

Obviously you gain revenue from going from 99% to 98% tax rates, but our rates are nowhere near where you'd gain revenue by lower tax rates.

If we went to 7%/12%/25%/35%/45%/50%, then we would see higher revenue - partially from the cuts in the lowest tax brackets. Corporate rates could be 12%/23%/34%/45%, and it would do something similar.

I really don't think a 45% top corporate tax rate is a good idea.

Goldman Sachs and other multibillion dollar companies could afford it.