Use thecurrent GDP * tax rate = Federal tax revenue (Hauser'slaw) to answer the following question.

1) Take a position on the tax base and the tax rate.

1a) Do you want to grow the tax base or increase the tax rate and why?

1b) How do tax rates influence economic activity?

1c) What are the impacts on the aggregate demand and aggregate supply curves?

1d) What are the effects of taxes and regulations on business formation?