The real way to be pro-business and pro-market at the same time is to provide a low tax rate environment for every company, not just a few, a stable and light regulatory regime and put an end to the many subsidies flowing every year to many American companies at the expenses of their competitors and taxpayers.Being truly pro-market means that you cannot be pro-business because being pro-business means that you favor business over some other concern, such as consumers or workers. The key component of being pro-market is that you are neutral towards all market participants. As such, being pro-market implies nothing about the level of taxes or the heaviness of regulation.
Thursday, April 26, 2012
Pro-Market ≠ Pro-Business
Veronique de Rugy offers a reminder to those who often confuse being pro-market with being pro-business. Being pro-market means wanting markets to allocate resources. Often, being pro-business means handing out corporate welfare to favored industries, or carving out tax advantages that favor some activities over others. But she takes it a step too far when she says that: