IREF - Institute for Research in Economic and Fiscal issues
Fiscal competition and economic freedom
A little more than 30 years ago, George Gilder published a book titled: “Wealth and Poverty”. This book became a worldwide bestseller. As a researcher, an economist and an investor, the author showed that government intervention cannot reduce poverty, but economic growth and economic development can only achieve this goal.
In his last essay, G. Gilder is stating again that the government has nothing to do in the economic process. Moreover, he is showing that the state is completely overwhelmed by the changes in the economic world.
Crises or growth periods are so spontaneous that no efficient intervention can be done. An entrepreneurial revolution has created this new context. G. Gilder describes the knowledge society we are living and how the entrepreneur is as a king. Just let him do to and economic growth will happen. Less regulation, less taxes and more simplification are needed.
That is all the entrepreneur needs to create jobs. For example, in 2010 all new U.S. jobs were created by companies created for less than 5 years old. And this will continue. Because the entrepreneur is creating the market, and not the opposite!