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Posts Tagged ‘Nobel’

Taxing the Rich to Fund Welfare Is the Nobel Winner’s Growth Mantra

Posted by M. C. on October 31, 2019

The Nobel Prize

The dinosaur that forgot to die.

https://www.bloombergquint.com/global-economics/taxing-the-rich-to-fund-welfare-is-nobel-winner-s-growth-mantra

Vrishti Beniwal

(Bloomberg) — How do you spur demand in an economy? By raising taxes, not cutting them, says this year’s winner of the Nobel prize for economics. Reducing taxes to boost investment is a myth spread by businesses, says Abhijit Banerjee, who won the prize along with Esther Duflo of the Massachusetts Institute of Technology and Michael Kremer of Harvard University for their approach to alleviating

A better approach would be to raise some taxes and distribute the money to people to spend, Banerjee said in an interview Monday in New Delhi, where he was promoting his book ‘Good Economics for Hard Times.’ “You don’t boost growth by cutting taxes, you do that by giving money to people,” he said. “Investment will respond to demand.” Countries from China to India to Indonesia are slashing taxes…

Read more at: https://www.bloombergquint.com/global-economics/taxing-the-rich-to-fund-welfare-is-nobel-winner-s-growth-mantra
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