Falling Off the Laffer Curve
Kansas Governor Sam Brownback promised to continue “the march to zero income taxes” despite revenue shortfalls. Read it here. This turn of events strips the policy of its intellectual underpinnings. Remember in the theoretical Laffer Curve, you’re not aiming to go to 0%. And if cutting income tax leads to less revenue as happened, then you were on the wrong side of the curve to begin with, so you shouldn’t be cutting more.
Originally in January 16 MOScout.