In Slovakia, the minimum wage has become a political evergreen of every autumn. However, its growth has been rapidly increasing in recent years. Moreover, the former Slovak prime minister has proposed a new law, which will set the minimum wage at 60% of an average wage of the previous year.
The ruling politicians are unfortunately going in the opposite direction. While a person working for a minimum wage in 2015 paid 29% in taxes and levies, with the planned minimum wage, they will pay more than 40% next year.
It was late 2018, when the Slovak government approved the free lunch program for all children attending elementary schools. The supporting argument was that this measure is outreaching to poor kids who had not been targeted by previous lunch subsidies.
The history of ship navigation on the shores of England shows us that when explaining events we need to take a look not only on the market failures, but also on the state failures. These played a bigger role than the textbooks’ authors might expect.
The most important figure of the Slovak economy in the last 5 years has been the trend in unemployment. This rate had been decreasing since the first quarter of 2013 and had dropped to almost a half in the first quarter of 2018. The unemployment rate fell from more than 14% to nearly 7%.
How can Slovakia match the technologies of the 21st century with regulation, so that the opportunities will be exploited? It’s simple. It is not rocket science or a super-secured secret. Just look at what has been done by more than half of the U.S. states.
An example of innovation is a standardized cargo container. Today, there are more than 20 million of these containers around the globe and we move practically everything in them. This innovation from the late sixties completely changed the world.
Imagine a world in which everything has to be approved by the parliament, and only then that thing might actually happen. In such a world, there would be no innovations. In a different kind of world, things change first and the laws follow. Recently, the news that the General Advocate has advised the Court of Justice of the EU to recognize Uber as a standard taxi service appeared online. First, we should probably admit that the attorney was doing his job conscientiously. He…
This should be the first commandment of every regulator. Or at the very least, forbidding should not be their first step. All over the world, many governments which have imposed a ban on sharing economy do not respect this rule. They shoot first and ask questions later.