Categories: Economy

Dear Larry Elliott – What Race To The Bottom On Tax?

A line from Larry Elliott’s latest piece showing that of course the Tories are wrong on the economy:

[perfectpullquote align=”full” bordertop=”false” cite=”” link=”” color=”” class=”” size=””]Even so, the race to the bottom on tax is in some sense welcome.[/perfectpullquote]

If only we’d had such a race:

Tax to GDP

We have historically high taxes for the UK economy. More of everything goes through government than normal. So, what tax race to the bottom?

[perfectpullquote align=”full” bordertop=”false” cite=”” link=”” color=”” class=”” size=””]For a start, it validates the use of tax and spending as an economic tool.[/perfectpullquote]

What I assume Larry means is that this set of promises of lower tax is indeed a validation. Which is fine then, of course. Because lower taxation would indeed be a validation of the idea that less government is beneficial.

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Tim Worstall

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  • Meanwhile, the French have found something else not nailed down and taxed it, introducing an online sales tax. Is the French government really so short of money? Can't they just wait a few months and start taxing Frenchies who want to buy British goods?

    Oops, no, that money goes to Bussels.

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Tim Worstall

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