The Laffer Curve

Thus we have the linear function known as f(Laffer) which corresponds to tax revenue maximization and economic growth or retardation.

Setting the first derivative of the the Laffer curve to zero is known as the "Hilarious" point.

or f'(Laughter) = 0 ["Hilarious" point B in the video]

we however would like to maximize growth in the economy so we want to find the maximum positive steepness of the graph f(Laffer) or the second derivative and set it to zero. This second deriviative inflection point of increasing steepness to decreasing steepness is known as the "Howler" point.

Thus we have f''(Laughter) = 0 ["Howler" point]

The "Howler" point is reached when politicians are bombarded by Large Hadron Collider Higgs bosons known as 'God particles'; which automatically sets tax rates to optimally reduced levels.

This will happen sometime during the Second Coming of Christ.

Of course we knew about this all along as it is written "profit-cally" in the following aphorism:

Job 8:21 "He will yet fill your mouth with laughter, and your lips with shouting."

Cheers

Hans Rupprecht, Commander in Chief

1st Saint Nicolaas Army
Army Group “True North”

In other news, Hollande has just significantly raised French tax rates, in the apparent belief this will increase government revenue.

And it might. For a short while. But I can hear the fax machine in Canadian Immigration shifting into overdrive from here.

To see this curve in action just look at Ontario tobacco taxes... the more the government increased these taxes, the more tobacco was sold tax free from native reserves. In effect government revenue dropped with increasing taxation.

In accordance with the law of unintended consequences a university study showed 75% of highschool cigarette smokers bought reserve smokes thereby ALSO bypassing the laws restricting sales to minors.

Who sez kids are stupid these days? ;)

Red Jeff at July 4, 2012 2:51 PM

Goode anology but one little problem.....

Lefties deny the laffer curve, but believe they can cobntrol weather (CAGW) and the registry suppresses violence....

Object to capital punishment because all life is precious but promote abortions.....

IOW yer preachin' at the choir.....

Good video-

Now we need a Democrat genius to explain why Obamacare is not a tax?

After the Leftest Supremest just ruled that it was.

And now for your viewing pleasure:

http://video.foxnews.com/v/1721047943001/will-health-care-ruling-boost-cost-of-law/?playlist_id=87937

Jul 4, 2012 - 4:34 -

Economist Art Laffer weighs in on fallout from Supreme Court decision

The health care entitlement program that is NOT A TAX according to the government, but is a TAX according to the Chief Justice Roberts on the SCOTUS.

And now some more mental gymnastics to prove that a TAX is in fact NOT A TAX...yep that should be fun. I'm sure the American TAX-payer will figure out which Benedict Arnold concocted this piece absurd piece of nonsense...

Well they wanted much laughter (Laffer), now they shall have it! All the way to Boston's TEA PARTY.

Cheers

Hans Rupprecht, Commander in Chief

1st Saint Nicolaas Army
Army Group “True North”

http://en.wikipedia.org/wiki/File:BostonTeaPartyJoyceNotice.jpg

Bretheren and fellow Citizens!

You may depend, those odious miscreants and detestable Tools to Ministry and Governor, the TEA CONSIGNEES, (those Traitors to their Country, Butchers, who have done and are doing every Thing to Murder and destroy all that shall stand in the Way of their private Interest,) are determined to come and reside again in the Town of Boston.

I therefore give you this early Notice, that you may hold yourselves in Readiness, on the shortest Notice, to give them such a Reception, as such vilest ingrates deserve! JOYCE jun.

Chairman of the Committee for Tarring and Feathering.

If anyone should be so hardy so as to Tear this down, they may expect my severest Resentment.
J. jun

Happy Independence Day!

Cheers

Hans Rupprecht, Commander in Chief

1st Saint Nicolaas Army
Army Group “True North”

Just using the ole Mark I eyeball,that curve seems to optimize around 20-25%. Can we beat this into politicos at EVERY level???? Oh.And that 20-25%???. That's counting ALL levels of thef...errr...taxes.

Ha ha ****ing ha

Sorry and the surprise is?

I'd been thinking about Galt for a long time, trust me the boy idiot Dave's decision to go for 50% was the catalyst I needed to stop contributing. Of course thats nearly impossible but I actively spent time to reduce as much as I could, in every conceivable way reduce to a bare minimum the money going into the thief's and charlatans pockets, I didn't stop it completely, but reduce it I did and have, and I've continued to reduce all my exposure in the UK and started the process of total dis-engagement, just hope I complete that before the year end or the inevitable melt down ...

To use my youngest nieces invective

"The UK I'm so ******* over it ....."

I just hope the fascist bastards stay to enjoy the results of their 80 years dogged incremental labour to socialist nirvana.

related:

http://www.theglobeandmail.com/report-on-business/international-business/european-business/wealthy-hit-hardest-as-france-raises-taxes/article4388486/

"They will include President Francois Hollande’s election pledge of a 75 per cent marginal rate on annual incomes of more than €1m – and permanent increases in wealth taxes."

Mother of god...

A most troubling sign of the times. The more free societies are flooded with immigrants who contribute nothing to the economic growth of society - the faster a capitalist system breaks down into socialism and is reduced to the lowest common denominator.

The reason it is happening now in Europe rather than here is that it is easier for those masses to get there.

The only thing that will keep this from occuring here is for our North American governments to wise up and stop this rediculous level of immigration.

Justthinkin -

The symmetric curve shown is hypothetical - the optimal rate can not, and never will be known.

And who says tax rates should be set using such a rule?

Calculate the revenue needed for defense, maintenance of the courts, etc. and then collect tax at 2, or a maximum of 3 different rates, with no one exempt, unless everyone is exempt. Oh yeah, and ditch all taxes on corporation to maximize economic activity, and thus job opportunities.

Who is John Galt?

The old standby of reduced interest rates is being roled out this morning across Euroland. Get the poor fools spending is the universal political thought process. It hasn't dawned on these politicals yet that the average Joe doesn't have the money anymore. All their budgets are predicated on GDP growth which contradicts economic reality and demographics.

Across Euroland retail sales are dropping at 7 to 10% per month. They don't want anyone to know about that. Spanish banks that received a ECB bailout to the tune of + $100 billion have lost over half that money already by citizens removing their money from the Spanish banks. More will be needed!

Dana

Its becoming more obvious with each passing day.