Lévy-Garboua, Louis; Masclet, David; Montmarquette, Claude - Maison des Sciences Économiques, Université Paris 1 … - 2005
A conjecture of Laffer, which had considerable influence on fiscal doctrine, is that tax revenues of a Leviathan state eventually decrease when the tax rate exceeds a threshold value. We conduct a real effort experiment, in which a "worker" is matched with a non-working partner, to elicit the...