Originally posted by Millz
I'm going to go ahead and write a few paragraphs, and hopefully start some debate and discussion. To begin with, I'll talk about why I feel that Conservatism is a much better approach in comparison to liberalism.
First of all, let's start with the economy. The economic policies of the left is to include more regulations on businesses, along with higher tax rates for the top 1%. Let's not forget increase government spending. Not only that, but they feel as if though government intervention in businesses will render them more competitive and will cause them to be able to produce better products. Obviously I disagree completely. First of all, strangling businesses with more regulations is only going to make them less productive. Companies that are forced to comply with government standards will have to spend more of their money to ensure that they are meeting the needs of the government, instead of investing the money in order to produce better products for the people. Harsher regulations on businesses means less employment in the long run, as well as more expensive costs for the products in general. Take Canada for example. In Canada, it is literally illegal for any foreign company to compete with them. (By that I mean that for example AT&T cannot come to Canada and start offering internet services, since the Canadian government only allows Bell and Rogers to be the supplier of phone/internet lines in Canada). That's just one very small example, but it has a huge effect on the end consumer. The costs for internet in Canada are beyond ridiculous as well as there being huge data caps. Harvard studies have shown Canada to be at the bottom in the developed world in terms of internet speeds, and at the top of the list for price. The same goes for cable. Now, this is all allowed by the government to occur in order to preserve employment, or so they thing. The truth is, increasing competition will render more people employed in the long run, as it gives businesses more room to expand and invest in future technology. The internet/cable industry in Canada is at a standstill and is not advancing at all, mainly because of this fact.
Next, let's discuss tax rates. The tax rates for those at the very top (those who have gotten a good education and employ people) should not be increased, rather they should be decreased. Higher tax rates for those who employ people is counter intuitive. You are punishing those who employ the majority of people in the country. What I never really understood is how the left can think that this works. If you start to increase tax rates on businesses, like gas companies, they are either going to start cutting jobs or increase their prices in order to make up for the lost revenue.
I also wanted to touch on healthcare, but my internet disconnected as I had finished typing this post, so I'll leave it here for now.
Internet/cable industry in the US suffers from lack of competition which is holding back it speeds/pricing. Canada on the other hand has closed off the market due to the state is one example of it not working same with the US. EU has added more regulations which mean cheaper prices and faster speeds.
More regulations is needed only in area which the market does not let competition appear.
Healthcare is another example with the US having some of the highest healthcare costs in the world. Lack of competition means high prices from the insurance companies.
Lack of a healthcare program in the US which is free hurts the US, the system needs reform the market has been too slow.
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For example, countries that made large cuts in top tax rates such as the United Kingdom or the United States have not grown significantly faster than countries that did not, such as Germany or Denmark.
Point is room to increase taxes at the higher end and use that on something like capital spending. Not all goverment spending is bad some of it good like captial spending, which has a high fiscal multiplier. If you want a good example see what happens when the UK cut it capital spending growth went down. Goverment spending most of it is welfare based. Most people like welfare spending.
Even if you hate welfare you can use to drive growth by the use of capital spending.
We overall needs a rethink in how we think about welfare, and move towards the Nordic model.
A mix of Conservatism/Liberalism is the best way forward taking forward what works and ditching what does not work. I'm more liberal in my views but willing to take whatever works. As long the numbers support it.