The Laffer Curve Illustrates That

question 11

Multiple Choice

The Laffer curve illustrates that

• A)deadweight loss rises by the square of the increase in a tax.
• B)deadweight loss rises exponentially as a tax increases.
• C)tax revenue first rises,then falls as a tax increases.
• D)Both a)and b)are correct.

---

Definitions:

Influencing Others

The ability to affect the behavior, development, or actions of others through persuasion, leadership, or other means.

Reward Power

The ability to influence others' actions by controlling access to desired resources or rewards.

Manager Power

The ability or capacity of managers to influence the behavior of their team members or allocate resources within an organization.

Influence Tactic

Strategies used by individuals or groups to change the behavior or attitudes of others in a particular direction.