Yes, but they also stated that this incentivizes working less instead of working more. Generally if you earn more by working more that is incentive to work more not less so I wanted clarification.
Each additional of unit of time you work in a given period of time is one less unit of time for something else.
For example, regardless of taxes, working 8 hours can mean you have dinner with your family. Working 12 hours means more money, but missing dinner with family so the additional 4 hours would need to be compensated more than the first 8.
Taxes would be similar. If setup the tax rate so high, say 90% for the amount of income one would earn for the average wage beyond 8 hours, then there wouldn’t be much reason to give up your leisure time.
