Originally posted by Lance
View Post
So their wages were 20% lower and thanks to Tony & Gordon, we will subsidise that with in work benefits.
So wages were lowered and of course the tax take falls.
How does the lower wage with subsidies effectively increase GDP per capita rather than dilute it?
You know that the point the average person pays more tax than they cost is about £30k, the closer we can get people to earning that the less others have to subsidise them.
The more available labour there is the lower the average wage will be.
Comment