Friday, December 25, 2020

trickle down

Well, duh!

....Data from 18 OECD countries over the last five decades to estimate the causal effect of major tax cuts for the rich on income inequality, economic growth, and un-employment....[found] that major reforms reducing taxes on the rich lead to higher income inequality as measured by the top 1% share of pre-tax national income. The effect remains stable in the medium term. In contrast, such reforms do not have any significant effect on economic growth and unemployment.

-- © David Hope and Julian Limberg, International Inequalities Institute, The London School of Economics and Political Science

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