Arguably the single largest threat to freedom in the world is the "harmonization" of tax rates. Of course politicians like to use euphemisms so the ignorant masses can continue on watching their Lady Gaga or the latest professional sports competition, but trust me it is a threat. The reason why is if tax rates are "harmonized" then there is no incentive for business, investment or labor to go to one country versus another. And if tax rates are moved in conjunction with one another, then the governments essentially form an OPEC-like cartel ensuring that labor and capital are more or less trapped at their home country. Since there is no advantage to moving investment and labor to one place or another, governments (if working together) and implement whatever policies they want on their people because "where you going to go? Every place is the same."
Of course this is very boring economics stuff that is no where near as exciting as watching "The View" or "Glee." So, as is a principle of mine in economics, I like to simplify things so people can understand.
Thank God for Canada.
The above comic strip was drawn by Chris Foleen, one of the respondents to my request for a political cartoonist.
You WILL visit his site.
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