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The Laffer Curve, Part I: Understanding the Theory

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The Laffer Curve charts a relationship between tax rates and tax revenue. While the theory behind the Laffer Curve is widely accepted, the concept has become very controversial because politicians on both sides of the debate exaggerate. This video shows the middle ground between those who claim "all tax cuts pay for themselves" and those who claim tax policy has no impact on economic performance. This video, focusing on the theory of the Laffer Curve, is Part I of a three-part series. Part II reviews evidence of Laffer-Curve responses. Part III discusses how the revenue-estimating process in Washington can be improved. For more information please visit the Center for Freedom and Prosperity's web site: www.freedomandprosperity.org

Channel: News & Politics
Uploaded: January 28, 2008 at 6:11 pm
Author: afq2007

Length: 07:39
Rating: 4.59
Views: 26019

Tags: carter  competition  curve  harmonization  laffer  mitchell  nixon  oecd  quinlan  reagan  tax  taxes  

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Video Comments

20000miles (August 4, 2008 at 9:56 pm)
Congratulations that was almost a complete sentence...keep trying and you'll get there one day. Go ahead and cast your pathetic vote my friend...keep on punching a hole in a piece of paper, falsely thinking that YOU have a say in USA affairs. You're the one shooting your mouth off. Turn the Caps Lock key off, 'mate'.
garyowen4ever (August 4, 2008 at 5:31 pm)
WHO'S WE?????? if you are an AUSSIE, YOU HAVE IT DAMN GOOD, AND SINCE YOU HAVE NO VOTE ON USA AFFAIRS,,,,,FUCK OFF,,,,,FUCK YOU., SHOOTING OFF YOUR NAIEVE IGNORANT MOUTH MAKES YOU LOOK LIKE A ZIT FACE SNOT NOSE GAMEBOY MORON.
20000miles (August 4, 2008 at 1:00 pm)
I am fully aware of the institutions that exist only to transfer wealth from the poor to the rich. I also beleive we should abolish the FED, the income tax and limited liability corporations. The USA represents the worst of crony capitalism and socialism. I am not naive, sir.
garyowen4ever (August 3, 2008 at 10:40 pm)
ok kid since i like the seekers and waltzing matilda , see hear read yaron brook ayn rand or money man jim rogers,,,,yaron brook is the ultimate reasonable man in a crooked USA, jim rpgers is a practical economist who has made billions, also peter schiff and the most mild,,,dr. brian wesbury. LIFE IN THE USA IS TWISTED, CROOKED, FIXED AND RIGGED FOR WEALTH CLASS SOCIALISM. AS TO THE RESTOF THE WORLD, NOT MY PROBLEM CEPT FOR CHINA AND ASIA WHERE ALL THE JUNK CRAP COMES FROM. ENOUGH ALREADY.
20000miles (August 3, 2008 at 8:25 pm)
Would you please elaborate on why I am a 'chump'in your opinion. Unfortunately for you ad hominem attacks are not an argument.
garyowen4ever (August 3, 2008 at 2:08 pm)
you are a 20 year old kid, what do you know about anything in the real world, you are a chump for every crackpot prof and money meister. only kids like you cross me, adult you tubers never do. be a chump for the next 25 yrs or grow up quick.
20000miles (August 3, 2008 at 12:14 pm)
Whoa easy there! Just because the governments of this world mess with economic data doesn't mean you have to shit all over economics itself. I have abandoned GDP and the CPI as economic measures long ago, because of the fact they can be manipulated.
garyowen4ever (August 1, 2008 at 1:39 pm)
google kevin philipps lecture or research govt falsification of economic data and you will see that USA govt reported data is bullshit since jfk, usa govt lies about key metrics for poitical and budgetary reasons, hence economcs is massturbation.
20000miles (August 1, 2008 at 11:26 am)
Right here, mate. You are correct when you say that poor monetary policy lays the foundations for a recession. -Tu Ne Cede Malis
20000miles (August 1, 2008 at 11:24 am)
Hmmm...this is a bit late, but who cares. Keynes is the bastard child of economics. His entire 'theory' is based around an assumption and the rest of it is full of holes too. The New Deal was a failure. GDP/ income per capita hardly went anywhere in the decade from 1930-1939. He only extended the depression. Not to mention it was poor monetary policy that caused the depression in the first place. Even Keynesians admit that.

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