We propose a model consistent with two observations. First, the tax rates adopted by different countries are generally … their growth performance. In our model, the effects of taxation on growth are highly non-linear. Low or moderate tax rates … have a very small impact on long-run growth rates. But as tax rates rise, their negative impact on growth rises …

of taxation and other disincentives to investment and innovation on economic growth …We study a model in which the effects of taxation on growth are highly non-linear. Marginal increases in tax rates have … a small growth impact when tax rates are low or moderate. When tax rates are high, further tax hikes have a large …

that a cut in the corporate income tax rate by 10 % raises the GDP growth rate by 0.9% while a cut in the personal income … tax rate by 10% raises the GDP growth rate by 1% …