Laffer Drift
One dark and fearsome crag, half-lost among the Himalayan mountain range of uncleared obligations stretched out before this blog, is a promise to devote a post (or several) to Mencius Moldbug’s Neocameral regime model. The opportunity to make a small payment against this debt having arisen, I am eagerly seizing it.
A relatively marginal but consistent feature in Moldbug’s model is the tendency of Neocameral tax rates to approximate to the Laffer maximum. Since Moldbug aims to rationalize the theory of government, under the presumption of its ineliminably self-interested nature, this suggestion scarcely requires an argument (and in fact does not receive one). Government will always tend to maximize its resources, and Arthur Laffer’s graph of optimum revenue-raising tax rates seems to show the way this is done. A Neocameral regime tends the economy of a country exactly as a farmer tends a herd of animals — without ever forgetting that ultimate redemption occurs in the abattoir.