The Laffer curve illustrates the theory of tax rate elasticity.

The contention of the proponents, that the tax rate cuts would more than pay for themselves, was influenced by a theoretical taxation model based on the elasticity of tax rates, known as the Laffer curve.

In economics, the Laffer curve is a theoretical representation of the relationship between government revenue raised by taxation and all possible rates of taxation.

It is clear that a 0 % tax rate raises no revenue, but the Laffer curve hypothesis is that a 100 % tax rate will also generate no revenue because at such a rate there is no longer any incentive for a rational taxpayer to earn any income, thus the revenue raised will be 100 % of nothing.

One potential result of the Laffer curve is that increasing tax rates beyond a certain point will become counterproductive for raising further tax revenue.

A hypothetical Laffer curve for any given economy can only be estimated and such estimates are sometimes controversial.

* The Laffer Curve: Past, Present and Future: A detailed examination of the theory behind the Laffer curve, and many case studies of tax cuts on government revenue in the United States

Conversely, Republicans believed that by increasing the tariff, imports would be lessened, and total tariff revenue would drop ( See Laffer curve ).

Supporters of the tax cuts also argue, using the Laffer curve, tax cuts increased economic growth and government revenue.

Under the editorship of Robert Bartley, it expounded at length on such economic concepts such as the Laffer curve and how a decrease in certain marginal tax rates and the capital gains tax can allegedly increase overall tax revenue by generating more economic activity.

The Laffer curve embodies a tenet of supply side economics: that government tax revenues are the same at 100 % tax rates as at 0 % tax rates.

The supply-siders were influenced strongly by the idea of the Laffer curve, which states that tax rates and tax revenues were distinct — that tax rates too high or too low will not maximize tax revenues.

The idea is said to be illustrated by the Laffer curve.

A recent working paper sponsored by the IMF showed " that the Laffer curve can arise even with very small changes in labor supply effects " but that " labor supply changes do not cause the Laffer effect.

" This is contrary to the supply-side explanation of the Laffer curve, in which the increases in tax revenue are held to be the result of an increase in labor supply.

The Laffer curve, with " Tax Rate (%)" on the x-axis, and " Government Revenue " on the y-axis.

* Arthur Laffer, whom the Laffer curve is named after, noted that, among others, some of Ibn Khaldun's ideas precede his own.

* Laffer curve

* Laffer curve

* Laffer curve

Wanniski was instrumental in popularizing the ideas of lower tax rates embodied in the " Laffer Curve ," and was present in 1974 when Arthur Laffer drew the curve on the famous napkin for Dick Cheney and Donald Rumsfeld.

The main character, is Larry Laffer who, though still somewhat lovable, is a balding, dorky, double entendre-speaking, leisure suit-wearing " loser " in his 40s.

One of Larry's trademarks is his manner of introducing himself: " Hi, my name is Larry ; Larry Laffer ", a reference to James Bond's introduction style, " My name is Bond ; James Bond.

* Leisure Suit Larry's Casino ( 1998 ) in which Larry Laffer is running a casino.

The board is composed of economics consultant Arthur Laffer, economics writer Stephen Moore, public law policy expert Victor Schwartz, economics professor Richard Vedder, and public policy activist Bob Williams.

This is the foundation of the Laffer curve, which claims taxable income decreases as a function of marginal tax rate, and therefore tax revenue begins to decrease after a certain point.

Larry Laffer is the main character of the Leisure Suit Larry series of adventure video games, created by game designer Al Lowe in 1987.

Much discussion has occurred regarding the optimum capital gains tax rate, with some advocates calling for tax cuts in the belief that a lower rate ( e. g., under 25 %) will provide an incentive to investors to sell old stocks and invest in new stocks — which supply siders maintain encourages the creation of new jobs, reduces unemployment, and has the paradoxical effect of increasing tax revenues more or less immediately, an idea first proposed by economist Arthur Laffer while an advisor to Ronald Reagan ( See Laffer curve ).

Arthur Laffer for years had no idea about the existence of the games until much later when Lowe sent a letter asking his permission for the publication of a program under the title Laffer Utilities, a Larry spin-off which could potentially confuse the public due to the ambiguous title.

The Laffer curve theorises that, even for price inelastic goods ( such as addictive necessary items ), there will be a tax revenue maximising point, beyond which total tax revenue will fall as taxes increase.

Wayne Angell, James Baker, Bennett, Michael Boskin, Edwin Feulner, Forbes, George Gilder, Carla Hills, Larry Kudlow, Laffer, Ed Meese, Mundell, Michael Novak, and Watts endorsed the institute and agreed to lecture at Pepperdine and to serve on an advisory committee.

The band started out while Jae Laffer ( then known by his actual first name, Justin ) and Drew Wootton were still at high school in Kalamunda, an outer suburb of Perth, Western Australia.

* Exclusive interview with The Panics ' Jae Laffer at Music. Virgin. Com

Smith has spoken at the Conservative Political Action Conference and FreedomFest in Las Vegas along with U. S. Vice President Dick Cheney, Whole Foods CEO John Mackey, former Speaker of the U. S. House of Representatives Newt Gingrich, former New York City mayor Rudy Giuliani, presidential candidate Mitt Romney, economist Art Laffer, authors Charles Murray, George Gilder, and Dinesh D ’ Souza, and Wall Street Journal editors Steven Moore, John Fund and James Taranto.

Many Republicans have endorsed this Laffer Curve view that tax cuts spur economic growth and reduce deficits.

From time to time a politician makes blunt claims that tax cuts increase government revenue ( e. g. Mitch McConnell in July 2010 ) However, the Laffer Curve reflects the hypothesis that only cutting tax rates to the right of peak economic performance rate will increase revenues, and that cutting tax rates to the left of the peak rate will decrease revenues.

At the center of the concept was the Laffer Curve, the notion that high tax rates can reduce government revenue.

Instead their proposed mechanism for the Laffer effect was that " tax rate cuts can increase revenues by improving tax compliance.

* Reaganomics: Supply Side Economics in Action ( ISBN 0-87000-505-7, Westport, Conn.: Arlington House, 1981 ) by Bruce R Bartlett with Arthur Laffer

* Leisure Suit Larry's Greatest Hits & Misses ( 1994 ): This CD collection included all the Larry games up to Larry 6, including both versions of the original game, the VGA version of Larry 6, the Laffer Utilities and the original Softporn game.

* The Laffer Utilities ( 1992 ), a parody of the Norton Utilities package.

Its use connotes the ideas of economists Robert Mundell and Arthur Laffer.

In 1983, economist Victor Canto, a disciple of Arthur Laffer, published The Foundations of Supply-Side Economics.