Want To Know How Not To Encourage Innovation? Double Taxes On Technology
from the welcome-to-argentina dept
Last week, VentureBeat wrote about how politicians in Argentina, including the country’s president, were pushing a plan to nearly double taxes on all tech products not made in the province of Tierra del Fuego. As the article notes, it’s not clear why Tierra del Fuego gets this special benefit, but the whole idea is one that will massively harm innovation and economic growth in the country. Raising most taxes, in general, when the economy is sour is generally a bad idea (there are some exceptions), but doing it on the very tools that increase productivity and economic growth in every other industry? Not only do you harm the tech industry, but you harm pretty much every other industry that uses technology to innovate and increase productivity.