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It’s not free. Taxes in France are massive. It’s one of the highest tax to GDP in the world. That and inflexible labour law also comes at an additional cost: hi
by cm2187 7y ago
It’s not free. Taxes in France are massive. It’s one of the highest tax to GDP in the world. That and inflexible labour law also comes at an additional cost: high unemployement and sluggish growth even when the whole world is doing great.
- AstralStorm 7y agoYes, whole world is doing great, by which you mean China with 6,9%, Romania 6,9%, India with 6,6% and not USA with 2,3%. (Which is better than usual. 2017 numbers.) Growth is not tied to employment policy, but only cost of labor. It correlates almost 1:1 as selfish big businesses move or outsource where it's cheaper. (Including big tax breaks. USA doesn't have these enough to balance very expensive employment.) Example from EU: Poland has 4,6% and France 1,8%. Switzerland 1,1% and Finland 2,6%. The number for France is not too dissimilar from USA and not anything special. Poland has baroque labor (improving) and especially tax laws.
- xyzzyz 7y agoClearly, it’s easier to grow when you start out poor, as you can play catch up copying the solutions and technologies from rich places. It gets much harder when you’re the leader, and not only you cannot copy tech from others, but you can’t even depend on them using you for cheap labor.