How not to grow the economy

Source: spiked
by Phil Mullan

“Despite the many legitimate criticisms of the short-lived Liz Truss administration, it did leave one exceptional legacy. It put the question of economic growth, and the importance of raising productivity, back on the mainstream political agenda. Raising productivity – the amount of value added by people per working hour – is the only sound basis for improving living standards. Without it, there is no potential for durably higher incomes, cheaper goods and functional public services. Strengthening productivity offers us an escape from our high-debt, low-growth economic trap. … both Labour and the Tories acknowledge that businesses are investing too little, and they believe that additional state help is the way forward. Unsurprisingly, existing businesses are happy to join this crusade. … But there is a big problem here: state financial aid to business is self-defeating.” (03/13/23)