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February 2008

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« Ireland has a Migrant Labour rather than an Immigration Policy | Main | The Sinn Féin Brand of Post-Violent Political Struggle »

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paul vreymans

2. SCIENTIFIC PROOF.
The conclusion that big government harms growth and that high direct taxes on income and labour are the most distortive taxes (as opposed to consumption taxes) does not originate from single country comparisons, but from the scientific multiple regression analysis in which 17 European countries were involved. In this investigation WorkForAll examined 25 possible causes of growth differentials over an 18 year period. The regression model explains for over 93% of the growth differentials and left only 7% unexplained for. The conclusions are undisputeable and clear: "big government" is detrimental to growth, and "countries with a higher proportion of consumption taxes" have very significant higher growth rates.
Full report of the study can be read at:
http://workforall.net/Tax_policy_and_Growth_differentials_in_Europe.pdf
And the abstract at :
http://workforall.net/EN_Tax_policy_for_growth_and_jobs.html
.
3. THE CENTRAL POINT
The central point is do we choose for Irish policies which have proven realistic and successfull for over 20 years, or do we believe socialist dogma's and choose a Scandinavian nanny type of government that proved so catastrophic for both wealth and job creation, and robbed the individual from his dignity as a free and responsable being?

if we adopt a more Irish view, it is possible to create bigger wealth. More people become independent of government support. The Scandinavian model however, only redistributes wealth without any progress in society. In the long run, there will be equality, but it will more resemble equal poverty than equal wealth.

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