Are Tax Hikes or Service Cuts the Only Option?
There's a rather depressing tendency for policy conversations to resort to false black and white options. Tax hikes or service cuts is one of those false dichotomies - and buying into it makes it easy for policy makers to justify their actions: we had no choice. It is also useful to divide people - after all, when there are only two choices, there is no bridge between them. Either you're for service cuts or you're for tax hikes. However, in reality there's a whole range of grey that should be considered. What if the tax rate remained the same, but the economy grew? What if services were more efficiently delivered? What if the administrative burden of collecting the taxes was reduced? What if we quit providing services that fail to result in meaningful improvements and redirected resources into services that are more effective? Often, what is needed is a more creative approach to policy making, government services and the use of public resources. Often what is needed ...