Supply side economists believe that decreases in marginal tax rates will lead to revenue increases because

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Supply side economists believe that decreases in marginal tax rates will increase the incentives for people to work harder and save more, leading to higher levels of production and economic growth. This, in turn, increases the tax base, resulting in higher tax revenues despite lower tax rates. This phenomenon is known as the Laffer curve, which shows that there is a point beyond which increasing tax rates will decrease revenue due to disincentives for work and investment.

Supply Side Economists Believe That Decreases in Marginal Tax Rates