Perhaps this is why Italy and Greece are struggling

A recent report by David Law at the NZ Initiative has this astounding chart:

The bottom four countries are the four underperforming European PIGS. Little wonder Italy and Greece are in fiscal crisis territory when every $1 transferred to people on low incomes means sending $4 to people in the top 20% of incomes. I’m sure taxpayers in northern countries are thrilled to have seen their tax dollars going into the pockets of people who earn more than they do.

New Zealand comes out looking rather good. Remind me again what problem unemployment insurance is meant to solve?

I wish the EU all the best for its inevitable break up.

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