How Do Laffer Curves Differ across Countries?
Published Date
Copyright 2013
ISBN 978-0-226-01844-7
This chapter examines how Laffer curves differ across countries in the United States and the EU-14. It shows that the differences between Laffer curves arise solely due to differences in fiscal policy; that is, the mix of distortionary taxes, government spending, and government debt. Labor income and consumption taxes are important for accounting for most of the cross-country differences.
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Published From Paper
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Working Paper
We seek to understand how Laffer curves differ across countries in the US and the EU-14, thereby providing insights...