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Reduce Taxes for the poor
by Rakesh Sharma on Apr 26, 2007 05:27 PM

China has a unique problem, where local state-owned companies, many of which are doing very well, are iniquitously poised over private companies (which have to disburse dividends, as pointed out in the article). To solve this unique problem, China can help reduce the income gap by adopting a "lower taxes for the poor" policy. This would be an indirect way of providing the benefit of a strong economy to the non-consuming poor!


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Why China just can't slow down