The British debate about 50p tax has generated some of the most inspiring political rhetoric of our times -- and some of the worst economics.
Yesterday, Ed Balls, the Shadow Chancellor, said it was not the right time to ditch the 50p tax rate, particularly "if we really are all in this together". Tim Farron, the Lib Dem President, said scrapping the 50p rate would be "phenomenally immoral and send an appalling message to the overwhelming majority of hard-working people in this country".
In Britain as in Europe and the United States, recovery depends on business investment and private sector job creation. Governments do not have the resources or the instruments to engineer recovery.