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Taxation policy can be changed. As a strategic matter, during wartime, the economic output of the entire country can be redirected to war efforts. Relative ec
by dingle_thunk 6y ago
Taxation policy can be changed.
As a strategic matter, during wartime, the economic output of the entire country can be redirected to war efforts.
Relative economic output of different forces is a major determining factor in war outcomes.
The percentage of GDP during peace-time serves as an indicator of readiness for war.
It is worth noting that Sweden staved off the USSR during the cold war with this very cleverly designed tank: https://www.youtube.com/watch?v=bSNNNMYmTKQ https://www.youtube.com/watch?v=bSNNNMYmTKQ
- m_eiman 6y ago” It is worth noting that Sweden only managed to stave off the USSR thanks to their preparedness, and this very cleverly designed tank” You probably mean the cold war, not ww2? Sweden didn’t (directly) fight the USSR during ww2, and was famously unprepared at the start of the war.
- dingle_thunk 6y agoThanks. Amended my comment there, knew something about it felt off. Mostly just wanted to point out a cool and important tank :)
- Kinrany 6y agoNot all economic output can be used by the military, right?
- dingle_thunk 6y agoNo, obviously. But everything can be commandeered and coordinated by defense during a war effort.
- thaumasiotes 6y ago> Taxation policy can be changed. > As a strategic matter, during wartime, the economic output of the entire country can be redirected to war efforts. GDP can also be changed via policy. And your suggestion has Laffer curve problems. Redirecting the entire output of the country into a war effort will sharply reduce the output of the country.