Thats under a assumed system of everyone following the rules. People dont do that anymore and there are plenty of people that would take that increase and push it overseas to sit on and do nothing with it. Businesses already get federal welfare more than ever before and if increasing taxes are so bad why did we have such a high tax rate post ww2. Historically we were most prosperous in a increased tax setting. Cracked down on tax fraud. As you progress through the decades taxes are down, businesses are under less oversight. What did that give us a recession and a larger weath gap between employer/employee since the gilded age. (Nice name but terrible time for the average citizens)

Take a hypothetical rate of 90%. If I'm producing a product and making money, at some point I'm going to hit that 90% taxed bracket. At that point, people either stop producing because 1) they're operating at a loss, or 2) because it isn't worth their time to work for only 10% of the output. People also take measures to pay less taxes, or they start dealing under the table. Any effort to mitigate the tax burden contributes to the region of declining revenue on the Curve. Different people react to different rates.