Joseph Stiglitz: Mitt Romney's tax avoidance weakens bonds of American society

[marmar]

Mitt Romney's tax avoidance weakens bonds of American society
If politicians and those around them do not pay their fair share of taxes, how can we expect that anyone else will?


Mitt Romney's income taxes have become a major issue in the American presidential campaign. Is this just petty politics, or does it really matter? In fact, it does matter – and not just for Americans.

A major theme of the underlying political debate in the United States is the role of the state and the need for collective action. The private sector, while central in a modern economy, cannot ensure its success alone. For example, the financial crisis that began in 2008 demonstrated the need for adequate regulation.

Moreover, beyond effective regulation (including ensuring a level playing field for competition), modern economies are founded on technological innovation, which in turn presupposes basic research funded by government. This is an example of a public good – things from which we all benefit, but that would be under-supplied (or not supplied at all) were we to rely on the private sector.

Conservative politicians in the US underestimate the importance of publicly provided education, technology, and infrastructure. Economies in which government provides these public goods perform far better than those in which it does not. ...........(more)

The complete piece is at: http://www.guardian.co.uk/business/economics-blog/2012/sep/03/mitt-romney-tax-avoidance-society

[gopiscrap]

1. I absolutely agree!

[iemitsu]

2. it is clear that america has suffered under the leadership of

those who lack a sense of social responsibility.
leaders must lead by example if they want to have any credibility. when leaders cheat and lie the led feel they can cheat and lie too.
the "two sets of rules" model can not work to promote a civil society. it just promotes confusion among the population.

[Bill USA]

3. recommended.