IREF - Institute for Research in Economic and Fiscal issues
Fiscal competition and economic freedom
In an interview with the Guardian, Madam Lagarde says it is time for Greece to pay back and insists on the fairness of it – “Greeks have to pay taxes now and assume their past mistakes,” she says, adding that “As far as Athens is concerned, I also think about all those people who are trying to escape tax all the time”. If her mathematics is somehow correct, she obviously doesn’t think about those who did not participate in the government’s wasting of money and find themselves today on the same boat with all the others.
She neglects as well the fatal incentives that were built in EU’s support to the “Greek economy”. It is regrettable that those lessons on the working of our modern democracies remained untold.