[LINK] Re: OFF TOPIC Re: the rich and corporate parasites

Deus Ex Machina vicc@cia.com.au
Wed, 26 Feb 2003 12:22:48 +1100


Chris Maltby [chris@sw.oz.au] wrote:
> On Wed, Feb 26, 2003 at 08:00:38AM +1100, Deus Ex Machina wrote:
> > (as if its not a tautology) the irish case clearly shows that business
> > is the driving force behind the economy.  Ireland halved its tax rates
> > more or less and more or less doubled its tax income.
> 
> The Irish case is a classic example of not including externalities.
> The extra revenue came from companies relocating their incorporation
> to Ireland to take advantage of the lower tax rates. Some of that
> turned into increased economic activity, but some of it was just
> tax avoidance in another jurisdiction...
> 
> In another version of the story it's called "the tragedy of the commons".

"blaming" the irish economic miracle on foreign investment is only part of the picture
see

http://www.csls.ca/ipm3/fortin-un-e.pdf

it cant be understressed that unemployment went from 16% to under 5%, I dont see
how that is a tragedy, further by investing in higher education ireland has/is creating
an infinite resource of intelectual capital. contrast with australia with HECS and
its mentality of being a farm and a quarry. our government is too busy proping
up a ill functioning health care system and subsidising private health insurance to worry
about creating free education.

Vic