Pied Pipers of Prague
2010-01-14
One Czech business leader after another is standing up and
blowing the horn for major post-crisis reform. If, as in the
legend of the Pied Piper of Hamelin, the proposed solution to
the problems were to lead all the rats out of the city and over
the cliff, it would be something to cheer. Instead, the
cornerstone of the proposed reforms are higher taxes, which will
merely worsen the economic crisis for all and bring the precipice
ever closer. Small and midsize businesses risk going over first,
because they have fewer resources for finding workarounds and
will therefore be disproportionately affected by the higher
taxes. By stressing tax increases more than efficient use of
existing tax revenue, the Confederation of Industry and others
are of course facilitating corruption, esp. if 20% of the extra tax
money goes directly to the rats. But almost as importantly, the
Pied Pipers of Prague are indirectly promoting a further
consolidation of the market into the hands of big business. It's
been said that you never want a good crisis to go to waste.
[Czech Republic Hamelin and Transportation]
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