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The Laffer Curve
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The Laffer Curve
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6. Introduction to Taxes and Subsidies / The Laffer Curve / Problem 4
Problem 4
What evidence would support Arthur Laffer's claim that the USA is on the downward slope of the Laffer Curve?
A
Data showing decreased revenue following tax rate increases.
B
Data showing increased economic activity following tax rate increases.
C
Data showing no change in revenue following tax rate increases.
D
Data showing increased revenue following tax rate increases.
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