The Laffer Curve Is

question 15

Multiple Choice

The Laffer curve is

• A) never referred to in modern day discussions of public finance.
• B) a curve that describes the relationship between tax rates and tax revenues.
• C) used to describe the relationship between consumption and hours worked.
• D) a curve that refers to the endowment of time.

---

Definitions:

Density

A physical property defined as an object's mass per unit volume, indicating how compactly the mass is distributed in the object.

Glass

A hard, brittle substance, typically transparent or translucent, made by fusing sand with soda and lime and cooling rapidly.

Density

Density is a measure of mass per unit volume of a substance, indicating how compact its mass is.