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Through tax evasion, through the labour-leisure choice or in other ways, taxpayers reduce the tax base in response to an increase in the tax rate. The process is commonly-believed to generate a humped Laffer curve with a revenue-maximizing tax rate well short of 100%. That need not be so. In the...
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An indivisible good is an ideal type with interesting properties and strong implications about public policy. It is a good - such as a heart transplant or a treatment for AIDS - that must be consumed in a fixed amount or not at all. The community's demand curve for an indivisible good is a...
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The effect of a widening of the distribution of income upon society's choice of the amount of redistribution is a balancing of two opposing forces: the increase in redistribution in response to the increased ratio of mean to median income and the decrease in response to the greater advertising...
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Important as it is for public policy, there is still no consensus about the size of the revenue-maximizing tax rate at the top of the Laffer curve. The purpose of this essay is not to supply a correct rate, but to identify difficulties in doing so. 1) Estimates of the revenue-maximizing tax rate...
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A duty to vote may be interpreted narrowly as no more than an obligation to cast one’s ballot, supporting a party or candidate in one’s own interest exclusively or, if one so pleases, with some regard for the community as a whole. Alternatively, a duty to vote may be interpreted...
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People vote from self-interest or from a sense of duty. Voting from self-interest requires there to be some chance, however small, that one's vote swings the outcome of the election from the political party one opposes to the political party one favours. This paper is a discussion of three...
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