Government policy can encourage growth of entrepreneurship

For anyone who doesn't think government policy affects growth of entrepreneurship needs to take a look at this article on the website today.  Ireland made several key changes to policy which had a direct impact.

Higher education was made free via the Free Fees Initiative in 1995 by the Ministry of Finance.  A simple investment in human capital provided opportunities to many who otherwise would not have been able to afford it.

Additionally, the tax on corporate profits was set to 12.5% which is in stark contrast to personal income tax rates between 20% and 41%.  Originally, it was 32% but the finance minister introduced legislation that phased in the reduction to 12.5% over the course of several years.

Most of the legislators in Arizona discuss economic development in terms of investment, but that only works if the investment is in education.  I wonder if they should start thinking in terms of environment.  Only with the proper nurturing can entrepreneurship really take off here.

More information on the Free Fees Initiative, please note this article.

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