Social Welfare and Entrepreneurship

Have a look at what is going on in US large cities and some large deficit countries in the EU.   Large crowd are marching and denouncing the high salaries and incentives of fat cats around Wall Street that are partly the bailout based on their levied taxes despite their lack or decreased financial securities or protesting the social welfare cutting imposed by central governments.   In developed economies, there exists conflicting states, the necessity to cut government spending and demand to increase the budget of social welfare.  But the stagnated economies in developed nations never allow to increase the budgets of central governments.  Developed economies also have difficulty to rely on large sized manufactures or retailors, which used to hire a large number of people, to employ more people who will consume a lot and pay taxes a lot after their hiring.

Now, entrepreneurs are expected to start new businesses anywhre in developed nations.  The tendency of their intentions and actions is supposed to keep their business small but wealthy.   In other words, they are not likely to hire a large amount of people.  Neverthless they have extremely important roles because they create businesses, may commence a remarkable projects or invent epoch making products/services, and additionally purchase/ consume products/services/ goods and pay taxes fully.  So, the number of new and small businesses must be increased for sustaining the needs of society.  They should be encouraged to start more businesses and earn a lot.  The government in those nations must consider what tax system is effective to encourage them, how to prepare infrastructure to keep their operations performed smoothly, why current regulations are necessary/ unnecessary and so forth.

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