Former Minister Eyzaguirre Disproves Economic «Trickle Down» Myth: «Evidence Shows Advancing Nations Tax More»

Original article: Exministro Eyzaguirre desmintió el mito del «chorreo» económico: «La evidencia dice que las naciones más avanzadas cobran más impuestos» Former Minister Eyzaguirre Disproves Economic «Trickle Down» Myth: «Evidence Shows Advancing Nations Tax More» In an interview with UChileTV’s «Descabelladas» program, former Finance Minister Nicolás Eyzaguirre addressed the «trickle down» economic myth, stating that global evidence indicates this strategy is ineffective. «If you look at countries similar to ours… for example, Australia, New Zealand, and Canada, which have comparable export structures, they actually impose higher taxes, not lower ones,» asserted the former state secretary. «However,» Eyzaguirre added, «the right has a belief that the wealthiest should save and invest as much as possible, anticipating this ‘wonderful’ trickle-down effect that will supposedly benefit everyone.

» Yet, the ex-minister cautioned that «the empirical evidence worldwide does not support this; in fact, it shows that more developed countries collect higher taxes, not lower ones.