Poverty before Politics
How the government exploits inflation to hide tax increases
The severe limitations of macro-economic policy
How welfare benefits undermine work incentives
The impasse requires dramatic surgery: A reverse income tax should replace unemployment, sickness, retirement and other social security benefits; personal income taxes should be reduced for all income groups, particularly families with children, with a maximum marginal rate of 50 per cent; and employees’ national insurance contributions should be abolished.
As they showed in the 19th century, the British people can be trusted to learn how to handle their money to provide welfare for themselves. The welfare state interrupted this process by discouraging self-provision and by the inflation that has attacked the savings and insurance of people too poor to hold assets in other forms.