Laffer curve Laffer curve In economics, the Laffer curve illustrates a theoretical relationship between rates of taxation and the resulting levels of government revenue. It illustrates the concept of taxable income elasticity—i.e., taxable income changes in response to changes in the rate of taxation. The Laffer curve assumes that no tax revenue is raised at the extreme tax rates of 0% and 100%, and that there is a rate between 0% and 100% that maximizes government taxation revenue. The Laffer curve is typically represented as a graph that starts at 0% tax with zero revenue, rises to a maximum rate of revenue
Larry Laffer person's full name as a comical reference, "Jerry" was then altered to "Larry", a similar name, in honor of injury attorney Larry H. Parker, a childhood friend of Lowe. Lowe had to find a new surname, and having in mind the many L-words of the title, skimmed through the 'L' volume of an encyclopedia in order to find a suitable word or name. He fell on the entry of Arthur Laffer, and the name caught his attention due to its phonetic resemblance to 'laugher'. Arthur Laffer for years had no idea about the existence of the games until much later