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A graph plots tax rate in percentage versus tax revenue in dollars. A left-opening parabola is graphed. The horizontal axis is labeled tax revenue in
A graph plots tax rate in percentage versus tax revenue in dollars. A left-opening parabola is graphed. The horizontal axis is labeled tax revenue in dollars. The vertical axis is labeled tax rate in percentage. Points a, b, c, and d are marked on the vertical axis from bottom to top. A left-opening parabola, begins at (0, d), passes through a point that corresponds to point c on the vertical axis, reaches its apex at a point corresponding to point b on the vertical axis, again passes through a point corresponding to point a on the vertical axis, and ends at the origin. Refer to the graph. A movement from point A to point B on the Laffer Curve represents Multiple Choice an increase in tax revenues. an increase in the tax rate. a decrease in tax revenues. no change in the tax rate
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