Fred Folvary wrote:
But some of these activities would be unnecessary in a pure free
market, e.g.
there would be no need to promote growth, because it would not be
hampered
in the first place.
I agree. if the institutions (core activities of government) are
necessary for economic growth I
evidence suggest (Cato journal - I believe the fall 1998-issue)
that a
tax biurden of around 20 percent of GDP seems to be optimal for
economic growth (provided, of course, that it is spent somewhat
wisely).
any higher, and economic growth will be reduced
Optimal implies that
--- Jacob W Braestrup [EMAIL PROTECTED] wrote:
I guess the idea is that some state activities: secuiring a market,
prtecting property, etc. promote economic growth...
The share of GDP spent on the core activities of the state is
roughlty around 20 percent of GDP
- jacob
But some of these
BTW, would anyone also
care to comment on Mankiw's text as a replacement for the venerable
Samuelson?
~Alypius Skinner
I use Mankiw. It is straight-forward, readable, and does not get goofy. It
is not purely pro-market, but as good a mainstream text as one can find.
I don't like the
evidence suggest (Cato journal - I believe the fall 1998-issue) that a
tax biurden of around 20 percent of GDP seems to be optimal for
economic growth (provided, of course, that it is spent somewhat wisely).
any higher, and economic growth will be reduced
Optimal implies that there will be
