The Lovitz curve

Just as in the Laffer Curve illustration above, this is an idealized, symmetrical version of what the Lovitz Curve would look like. Yet progressive critics of the Laffer Curve claim that the point of optimal revenue is likely not at the exact middle (e.g. a 50% tax rate in that case), but most probably further off to the right of the graph, somewhere around the 70% mark. (On the right you can see what critics say a more accurate Laffer Curve would look like — click to enlarge.)

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The same principle holds true for the Lovitz Curve. Hollywood liberals are much more enthused by and generous to politicians closer to the Lenin end of the scale than to anyone near the Reagan end of the scale. It’s not like they’re most enthused by perfectly centrist populists; instead, they tend to give RASH to fairly high levels of class warfare, just so long as it doesn’t get so high that it starts to become scary.

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