Small State Vs Big State

It seems to me that a lot of political views hinge on one aspect.

Should the state be larger or smaller?

By "larger" I mean taking a larger amount of money in taxes and using it to do more and employ more people.

By "smaller" I mean that individuals and companies keep more money and spend it themselves.

We have a lot of history and a lot of different models over the world to study so surely we should be able to have a rational debate about which is best...

Personally, I think that the UK has the balance about right althought a little smaller would suit me.

Thoughts?