Changes in the EU

Fire of Liberty

Check out this article in The Financial Times.

It seems the EU Commission President Jose Manuel Barroso is presenting reforms to the European Union's socialist/welfare state mentality. His proposals focused on jobs, research and growth. The best way to achieve this is by lowering the massive tax rates within the various nations in Europe. While France, Germany and Sweden are choking on rising unemployment and slow growth under these excessive taxes other nations like Ireland, Poland, Hungary, Slovakia, Estonia, Lithuania, Latvia and countless others have either initiated sweeping tax cuts at the individual or corporate level. Several of these states have also implemented a flat tax. By taking these steps, these countries are experiencing extensive growth rates. When nations enact pro-growth tax policies like lower tax rates or a flat-tax they become very attractive to businesses. Being that a company's chief objective is to make money, they're more than likely to stay were taxes are low. With companies coming in, they also cause a growth in the job market.

These states also could increase their growth by reducing the burdensome regulations and removing the intrusiveness of the bureaucrats within Brussels. Barroso noted his concern for the ever increasing expansion of the EU's federal goverment when he stated "I think we should have 'ever closer union', but the basic legitimacy of our union is the member states,"

Unless the EU follows the policies of Reagan, Thatcher, F.A. Hayek, Milton Friedman, Hazlitt and others like the newly introduced EU states have done, they will never be able to compete with the US.