Because cutting the wedge does not solve the chronic lack of real wage growth
12 months ago
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When a government cuts taxes it is difficult to expose itself to criticism in Italy. When it does, however, by cutting the tax wedge on low- and middle-income labor it is essentially impossible. Neverthe temporary tax cut decided by the Meloni government until December – and then we’ll see – it can offer us a starting point for reflection on the fiscal policy choices of almost all the governments of the last decade.
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