It shows that higher tax rates can sometimes decrease the tax base, which will lead to the decrease in tax revenues even if the tax rates are high. ... This led supply-siders to advocate large reductions in marginal income and capital gains tax rates to encourage greater investment, which would produce more supply.
The reason that plantations sprang up in the South was due to the geography and climate of the Southern colonies areas. Tobacco, rice, cotton, sugar cane and indigo were valuable plants and grown as cash crops.
