Facts and Things - Mission
Facts and Things aims to add details to interesting topics of the day. You’re heard the old saying about being a like a mushroom i.e. being kept in the dark and fed bullshit… well that’s what I will be trying to overcome by shining a bit of light on topics of the day and giving details. Of course I will have my own thoughts and beliefs on these topics but I will try to keep them out of the equation as best as possible by making my own thoughts known at the start and then using other sources to get to a hopefully objective view using, as fully as possible, re recognised sources of information such as the Office for National Statistics.
GDP, Tax Cuts and the Emperor's Clothes
In recent times you will have heard various politicians arguing that in order to improve the U.K.’s economy steps must be taken to increase the gross domestic product (GDP); GDP essentially being the value of goods and services provided within an economy during a one-year period. In the financial year 2022/2023 Gross Domestic Product was 2,506 billion; according to the House of Commons library key economic data report document at:https://commonslibrary.parliament.uk/research-briefings/sn02783/
The other argument that is often raised by various UK politicians is that GDP can be increased by cutting taxes.
This article examines the evidence as to whether or not tax cuts do lead to increases in GDP. It also considers whether the exact opposite, i.e. tax rises, is an option that should be looked at.