The Laffer Failure: Lower Tax Less Representation

Abstract

The Laffer Failure is research argued to figure out past forty years an academic novel understanding of tax reform impacts on representation consequences. Given a novel literature review from data inquire to analyze an old insight into tax efficacy on an aiming equifinality growth for a nation prosperity. I discuss a metaphysic mechanism of rent-seeking tax rate changes in panel characteristics in order to clarify the efficacy of Laffer coefficient on different groups of income per capita growth. Results conclude the tax paradox per se cripples the efficacy in that rent-seeking loss fails to be compensated by Laffer reforms even if redefined by green paradox, so as to corrode all groups’ welfare to make more complex representation for non-target groups. JEL: E0; H0; P0.