anzich@feddit.de to Europe@feddit.deEnglish · 4 months agoEurope faces ‘competitiveness crisis’ as US widens productivity gap [ft.com]archive.phexternal-linkmessage-square26fedilinkarrow-up131arrow-down15file-text
arrow-up126arrow-down1external-linkEurope faces ‘competitiveness crisis’ as US widens productivity gap [ft.com]archive.phanzich@feddit.de to Europe@feddit.deEnglish · 4 months agomessage-square26fedilinkfile-text
minus-squareMahlzeit@feddit.delinkfedilinkEnglisharrow-up1·4 months agoNo, that doesn’t assume any of that. I don’t even know why you would think that. AFAIK, the Irish situation is because multi-nationals get to pretend that they make their profits there for tax purposes. On paper they produce stuff there and pay the low taxes. -> https://en.wikipedia.org/wiki/Base_erosion_and_profit_shifting It’s a known issue and has been for years. But you can see the problem. It’s a complicated issue. People who might care aren’t even able to get their heads around the very simple textbook definition of “productivity”.
No, that doesn’t assume any of that. I don’t even know why you would think that.
AFAIK, the Irish situation is because multi-nationals get to pretend that they make their profits there for tax purposes. On paper they produce stuff there and pay the low taxes. -> https://en.wikipedia.org/wiki/Base_erosion_and_profit_shifting
It’s a known issue and has been for years. But you can see the problem. It’s a complicated issue. People who might care aren’t even able to get their heads around the very simple textbook definition of “productivity”.