Tax reform and economic development: an impossible mission in Latvia?

  • 2010-06-17
  • By Janis Berzins
In the last weeks, one question has been broadly discussed in Latvia: is a progressive tax regime good for Latvia? Several answers have been presented. Simplifying, while one group believes this is a good choice, as it shares prosperity and reduces social inequality, another believes a progressive tax system would result in people and firms paying more taxes. There are people saying it is against the free market and capitalism, even after the IMF has recommended a progressive tax system for the country. This is the joke of the year: the IMF is against the free market and capitalism....
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