Public Education And Higher Taxes

By Richard Rahn

Why do individuals and countries engage in self-destructive behavior? Many books have been written on the topic, but given the U.S. election campaign, it is worth examining why some politicians and other opinion leaders advocate policies contrary to both good theory and empirical evidence.

During the last quarter-century, most countries on the globe went through an economic renaissance as Austrian and Chicago school economists gained the upper hand from the old Keynesian and socialist policymakers. This was due to the political triumphs of Ronald Reagan and Margaret Thatcher and their many disciples around the globe.

The successes of lower tax rates, deregulation, privatization, and freer trade are obvious to all who care to look, yet both in Europe and the United States many in the political class are running from these successful policies...... (Read on)