Tag Archives: taxes

Policymakers could have lifted inflation, if they wanted

Central banks are still worried about the danger of deflation, even though they have timidly started to lift interest rates. How else would they explain real negative rates almost everywhere in the developed economies?

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A research paper supports the idea of debt forgiveness

If you’re like me, you’ve certainly wondered why economic growth has been so sluggish after the worst post-war recession — the Great Recession, or Great Financial Crisis as some have callednthe 2007-2009 crisis. Normally, the economy should have surged, after such a deep slump.

Instead, we’re proud of economic growth figures around 2% in Britain and the US and cheer when the eurozone posts a meager GDP advance of above 1% almost a decade after the crisis.

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Stop subsidising CEO bonuses with taxpayer money

As executive compensation continues to increase, more evidence emerges of the link between compensation and risky behaviour that could, in the most extreme cases, lead to the collapse of the firm and why not, the global economy.

And yet some CEOs’ bonuses are being subsidised by public money, especially in the UK where the taxpayer generously tops up salaries that are too low for employees to be able to live on.

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Why household debt needs to be written off

By Antonia Oprita

The story on the need to bail out households just like we bailed out the banks has sparked some controversy. To some extent, this was to be expected – but the truth is that forgiving household debt is the only real way out of the crisis.

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UK households need a bailout, just like the banks

Indebted households in the UK and more widely need a bailout just like the financial sector got one, in order for the economic recovery to take root, according to Dr. Johnna Montgomerie, lecturer in economics at the Political Economy Research Centre (PERC), Goldsmiths University of London.

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Household debt set to increase sharply in the UK

If you’ve finished the champagne you popped open the other day to celebrate the good news on Stamp Duty in Chancellor George Osborne’s Autumn Statement, perhaps it’s time to consider the negative implications of the expectations regarding household debt.

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Japanese companies’ profits are severely understated

Japan’s stock market could see a sharp rise if the government cuts the depreciation allowances for companies in tax legislation, according to Andrew Smithers, economist and author of The Road to Recovery.

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