OK, this follows on from yesterday’s post but whenever I hear someone on the media claiming that Ireland is a high-tax economy, I’m going to @ the programme with this graph.
The question is simple: if Ireland is a high-taxed economy how come we have the lowest tax on labour in the EU except for Bulgaria and Malta?
Don’t underestimate the import of this battle. Keeping taxes low (while at the same time fighting off wage increases) is just a continuation of the austerity battle. People paid for the crisis; now there will be an attempt to make people pay for the recovery. What little is given in tax cuts will be taken away from free health, free education, affordable childcare, public services and income supports; in other words, all the programmes and infrastructure that can raise living standards. People will be required to subsidise their own tax cuts – and this after we’ve been forced to subsidise financial institutions and the economic collapse caused by speculative activity.
So please feel free to use this graph to get the word around. We’re not a high-taxed economy – but we are a low waged economy with even lower levels of public services and income supports. The only high this economy experiences is rising profits.
Oh, and deprivation and emigration, too.