Friday, September 28, 2012

France Rolls Out Left-Wing Austerity Budget With Top Marginal Income Tax Rate of 75 Percent

The question of fiscal austerity has become very aligned with partisan and ideological debates in the United States even though really it's a separate issue. And that's something you can see on full display in France, where the recently elected Socialist Party government is going all-in on fiscal austerity in its new budget, but doing so in a very left-wing way. The government is convinced that it needs a debt-reduction program and is determined to do it through progressive taxation. The most eye-catching headline element is that President François Holllande and Prime Minister Jean-Marc Ayrault are proposing a new 75 percent top marginal income tax bracket.

http://www.slate.com/blogs/moneybox/2012/09/28/france_s_new_budget_left_wing_austerity_will_put_top_marginal_income_tax_rate_up_to_75_.html

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