tag:blogger.com,1999:blog-3667984752324216670.post4332375508866338714..comments2023-08-29T14:36:43.600+01:00Comments on Making customers happy: Cut tax avoidance? Make the whole system simplerMhttp://www.blogger.com/profile/14758914366419054434noreply@blogger.comBlogger2125tag:blogger.com,1999:blog-3667984752324216670.post-35565386841593738382009-09-15T16:11:12.387+01:002009-09-15T16:11:12.387+01:00Is it really plausible that tax alone is the solut...Is it really plausible that tax alone is the solution? It's certainly not what Vince Cable thinks <br />http://www.reform.co.uk/Research/ResearchArticles/tabid/82/smid/378/ArticleID/950/reftab/56/Default.aspxAnonymousnoreply@blogger.comtag:blogger.com,1999:blog-3667984752324216670.post-3043172515193256062009-09-15T14:27:27.126+01:002009-09-15T14:27:27.126+01:00"For long-term economic recovery we need inve..."For long-term economic recovery we need investment in public services, not cuts."<br /><br />The government can't pull the economy up by its bootstraps. You are right that higher government spending has flattered the GDP figures, but with total GDP down 5% and government spending up 5%, the difference (private sector activity) is down 15%, or mathematically -5% = 50%*5%-50%*15% if you want the proof.<br /><br />Public sector spending is now 50% of GDP which is communist-bloc or wartime levels of spending, and cannot per se cause the economy to grow. <br /><br />Education will help, but at the moment I have a daughter who has just graduated with a 2:1 from Oxford who can't get an interview let along a job, just like 45 of the other 50 graduates who have left her college this summer.Alexhttps://www.blogger.com/profile/13775753218753337766noreply@blogger.com