The ______ shows the relationship between the income tax rate that a government imposes and the total tax revenue that the government collects.

Name: The ______ shows the relationship between the income tax rate that a government imposes and the total tax revenue that the government collects.
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Question

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The Laffer curve illustrates the concept that there is an optimal tax rate which maximizes total revenue, suggesting that both very high and very low tax rates can lead to decreased revenue for a government.

The ______ Shows the Relationship Between the Income Tax Rate