Re: Tax

Eugene Leitl (eugene@liposome.genebee.msu.su)
Tue, 10 Feb 1998 19:40:51 +0300 (MSK)


On Thu, 5 Feb 1998, Damien R. Sullivan wrote:

> If tax rates are 0%, taxes are 0. If tax rates are 100%, taxes are 0,
> because no one's bothering to work. So there's some curve relating

In Russia, people prefer to cheat. Local economy would break down
instantly, should existing tax legislation suddenly become 100%
enforcible. (Of course such legislation is entirely unenforcible).

> rates and revenues. If rates are below the optimal rate, then raising
> rates will increase taxes; if above the optimum, then the rates are
> [...]

ciao,
'gene