Budget 2012 should introduce targeted tax credit to kick-start economy

Ireland could benefit from a policy introduced to kick-start America’s economy in the 1970s.

That is the message from a US academic, Dr Randall Eberts, who is urging the Government to consider introducing a targeted tax credit for businesses.

An OECD conference in Dublin today will discuss the ‘job creation tax credit’ proposal, which would involve refunding a portion of new employees’ wage costs to an employer.

Dr Eberts, President of the Upjohn Institute for Employment Research, said it would be a short-term measure.