Of course there also need to be far-reaching changes in the way the EU budget is funded. At present it is precariously dependent on direct transfers from national budgets with only a tiny range of EU fiscal \”own resources\” such as customs duties and other levies. This would mean the introduction of EU-wide taxes – perhaps starting with a financial transaction tax, for which there is significant public support. An agreement by states to raise a higher rate of marginal tax on the largest incomes and other extremes of wealth would also help provide the means to drive forward a sustainable investment-led growth and job recovery.
Lessee: we\’re going to increase investment by taxing wealth, the product of investment are we? When the basics of taxation tell us that when you tax something you get less of it? And those high incomes: remember the marginal propensity to spend? That means that it\’s the high earning buggers who actually save from which we finance investment. So nicking more of their money is going to increase investment is it?
And then of course there\’s the complete stupidity of the FTT. The EU\’s own damn report into it tells us that it will reduce GDP. The mechanism being that it will lower share prices, thus lower investment.
This is the way to boost investment is it?
I never really do know with these people. Are they simply stupid and ignorant? Or lying through their teeth?