Commentary According to U.S. Treasury Secretary Janet Yellen, global corporate income taxes have been lo these many years “racing to the bottom.” This must be nipped in the bud, in her opinion, if prosperity is to be attained. Say what? Taxes are too low? This will be news to taxpayers! As she sees matters, Adam Smith’s wealth of nations does not emanate from the private sector. Rather, government is the engine of growth. And the more money it has, the better off we will all be. But the public sector is fueled by taxation. Hence, the need to raise its level and to keep on going in this direction. What’s the optimal size of government in the economy in her perspective? She does not say. All we know for sure is that it’s “more” than at present. But there’s a worm in the apple. If you keep on plucking the …
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