Marco Antônio Costa faz sua análise pessoal sobre a recusa de Daniela Mercury de receber o cachê de R$ 100 mil pelo showmício que realizou no ato pró-Lula, e comenta sobre o movimento de aproximação de Bolsonaro a governadores do PSDB e União Brasil.
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The Word Alive
I am sure you have heard over and over again the propaganda: “small businesses keep our community alive.” Yet, what is subtly omitted is the question of WHO and WHAT of the community is being kept alive?
Challenges in Fiscal ManagementThe fiscal responsibilities are variable from country to country. The finance ministers might be in dilemma.
Factors of Production and Non Performing AssetsIn many countries the banks have been facing the menace of non-performing assets. It has been a challenge for the lenders.
Hoover-Up and the Financial VacuumBig businesses in the USA and the UK continue to use the invalidated theory of trickle down to justify low taxation and state subsidies. The claim is that the benefits will trickle-down to their workers and the community at large. However, economists claim that there has never been an acknowledged theory called ‘trickle-down,’ and the experience of several decades and numerous countries has shown that as far as big businesses are concerned there is no trickle-down effect. In fact, the cash flow is reversed; there is what might be called a hoover-up effect.
The Continuing Myth of Trickle-DownThe supposed economic theory of trickle-down was much used in the 1950s and 1960s in relation to the development of what was then called the Third World. These were countries left behind in a pre-industrial condition and needing help to catch up. It was argued that in a situation in which very few people were wealthy enough to invest in modern enterprises, the state should use its resources to establish large-scale projects, and the benefits would trickle down to benefit the whole community. The theory proved to be false in the Third World development context, and after two or three decades was entirely abandoned by professionals working in that field, but it is still used in a modified form by the moguls of the business community to justify state benefits today.
