The Laffer curve‚ named after the economist Arthur Laffer‚ is a curve that demonstrates the trade-off between tax-rates and tax-revenues (Wanniski 1978). It is used to illustrate the concept of taxable income elasticity‚ the idea that a government can maximise the revenue by setting the tax rates at an optimum point. This curve can be traced back as far as 1844 to a French economist Jules Dupit who in 1844 found similar effects as Laffer did (Laffer 2004). Dupit also saw tax revenues rising from
Premium Tax Taxation Progressive tax
Government Spending Government Spending Government Spending According to the principles of micro economic theory (which does not take into account aggregate‚ or national demand‚ but only considers particular spheres of demand in the national economy) as prices decrease‚ average consumer demand will increase. For example: Oranges=60 cents/Average Consumer Demand=2 Oranges=40 cents/Average Consumer Demand=4 Eventually‚ even if individuals have less money
Premium Economics Monetary policy Macroeconomics
Today violence is everywhere. It i s always seen on our television programs‚ we hear about it on the radio and teens are participating in it on a regular basis via video games. Many parents today are trying to blame the change in our media system. Teenagers of our generation are confronted with so much violence in their everyday lives whether it’s inside the home‚ or not. Unlike in the 1940’s many hardworking parents find it difficult to control everything their children see on the streets‚ or watch
Free Violence Aggression Television
Marthin Lukas S Pakpahan 29114341 Dhion Azrya Dewangga 29114434 Dini Siti Ayu Ariani 29114462 Iqbal Riantori 29114583 Change in Demand and Supply and Coffee Prices Theoretical Basis Law of demand The negative relationship between price and quantity demanded: As price rises‚ quantity demanded decreases; as price falls‚ quantity demanded increases. Demand Curve A graph illustrating how much of a given product a household would be willing to buy at different prices. Law of supply The positive
Premium Supply and demand
Koenig CP English 10 Sept. 9 2013 More than Just Riding Before I rode motocross‚ I thought you just get on the bike and twist the throttle. One year ago‚ I got my first dirt bike for my birthday. In the beginning‚ I just rode on simple trails down the street at my friend CJ’s house. My friend Brett invited me to go to a motocross track one day and I decided to try it out. I didn’t think anything of it‚ until after one lap I had to pull off the track because I was exhausted. That’s when I realized
Premium Imperial units Hardness
ECON0402 - Term paper Tourist Trap Model with Downward-Sloping Demand Curve 2010 97 0203 Introduction This paper will attempt to relax the unitary demand assumption of the tourist trap model that we saw in class. The others assumptions are conserved. We will now have a linear downward-sloping demand-curve: p=G-gq I will first discuss what could be the equilibrium price and how we can deduce it. Then‚ I will explain the conditions that must be fulfill to sustain this equilibrium.
Premium Supply and demand
on the recommendation of demand forecast. Once business plans are ready‚ an organization can do backward working from the final sales unit to raw materials required. Thus annual and quarterly plans are broken down into labor‚ raw material‚ working capital‚ etc. requirements over a medium-range period (6 months to 18 months). This process of working out production requirements for a medium range is called aggregate planning. Factors Affecting Aggregate Planning Aggregate planning is an operational
Premium Strategic planning Planning Inventory
it: A. takes more and more resources to produce successive units of it. B. violates the law of demand. C. satisfies consumer wants. D. is useful. 7. The law of diminishing marginal utility states that: A. total utility is maximized when consumers obtain the same amount of utility per unit of each product consumed. B. beyond some point additional units of a product will yield less and less extra satisfaction to a consumer. C. price must be lowered to induce firms to supply more of a product
Premium Consumer theory Utility Economics
Compton English 101-A51 Essay 15 February 2011 More Human than Human Technology has advanced by leaps and bounds over the past twenty years. What was once considered science fiction is now yesterday’s headlines. In just a hundred and fifty years we have gone from the first combustion-powered motor vehicle to space exploration and now we are managing our lives from handheld mobile devices. So let’s face it‚ technology evolves at a faster rate than humans. In fact it moves at such a rapid pace
Premium DNA Genetic engineering Cloning
and Methods Sixth Edition AGGREGATE PRODUCTION • A. J. Clark School of Engineering •Department of Civil and Environmental Engineering 14 By Dr. Ibrahim Assakkaf ENCE 420 – Construction Equipment and Methods Spring 2003 Department of Civil and Environmental Engineering University of Maryland‚ College Park CHAPTER 14. AGGREGATE PRODUCTION Slide No. 1 ENCE 420 ©Assakkaf PRODUCTION OF CRUSHEDSTONE AGGREGATE The production of crushed-stone aggregate involves: Drilling Blasting Loading
Premium