The article is confusing and misleading. It obviously matters what governments spend on and what they tax. If all revenues came from consumption taxes and all spending were transfer payments, it would not affect investment, work , and production, and savings would be enhanced. If all revenue were collected from work, savings and investment as is the largest share of the burden now, and all spending went to industrial policy, it would severely distort investment and reduce growth. While the IMF is and has always done more harm than good it is not alone. All Western economic policy makes the same consistent mistakes.
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