Some many years ago, during the reign of DOS and Windows 3.1, I actually stooped to purchase a game off the shelf in a computer store. It was called Empire.
The basic idea was to build a nation from a wilderness. The play was set in a land region with no facilities at all. The player had a small limited amount of money to start the settlement. The plan was to create a settlement and establish trades from which an economy could be created.
It was a fun game to play. If the player failed to keep Caesar happy the player wound up as a slave rowing oars in the galley of a Roman ship. If you managed to keep Caesar happy you were allowed to continue to build your nation. If you succeeded in building your nation well you were eventually offered the seat of Caesar by a happy population.
One of the lessons I learned from this game was the negative effect of taxation. During the course of one game it came to the point that I needed to raise cash for improvements and an army for defense. So, I raised taxes. The tax revenue actually started decreasing as the population of the nation started decreasing. People were moving out but I did not realize it. So, I raise taxes again and again. Finally, riots broke out all over the place in retaliation for the extreme taxes. The riots had to be quelled and that too cost money, for containment of the people and to rebuild the damage. I found the best solution to the discontent was to lower the taxes. As I brought the taxes back in line with the original starting point the population started to increase again, the disturbances ceased and revenues started rising. I found that by increasing the population through entertainment and trade the economy would produce more tax revenue even though I was not raising taxes. This became a hugely successful strategy. So successful in fact that I could at certain points lower taxes from the starting point with greater returns as the economy increased in trade.
Yes, it was only a computer game and one might question the basis for economic reality. None the less, it was a working experience which I never forgot. It was great to reach the level of Caesar.