Peru has transformed itself from a 1000% inflation just a couple of decades back to a very stable currency and a continuously growing economy, thanks to reducing the size of the government. Peru must resist the temptation of raising taxes. The poverty and misery that is still seeing is because the collectivist measures introduced by the communist government in the late 60's early 70's and will take more than a couple of generations to control or eliminate. It should serve as a model to some countries that think that government and taxes are the solution, they are certainly a huge part of the problem.
