Why do some Conservatives still believe in the trickle-down economics theory
(i.e. increasing deregulation, cutting taxes, etc.), when the eight years under Bush the Second proved that theory to be detrimental. It is precisely due to such attitudes that the recession came about. Why is this so difficult to understand?
The answer I think is that most conservatives don't actually believe in it, they just pretend to. It lingers for a variety of reasons. Partly I think it is because there is a lot of hatred in this country. For whatever reason a lot of people like the idea of severing people from the perceived welfare state (even themselves in some cases) and this gives them an excuse.
The bigger issue is that theoretically there actually is a grain of truth in the idea. Creating a more favorable business climate SHOULD lead to higher employment and spur economic growth. It doesn't happen automatically though, and the original supply-side economists understood the theory as a targeted and strategic policy choice, not a system-wide initiative. The original supply-side economists were more like surgeons cutting off dead patches of skin knowing it would grow back and improve the overall health of the body. The modern-day caricature of the theory, however, is a hatchet-man, lopping off entire limbs.
Conservatives use this grain of truth as justification, but in reality, I think most are just doing the bidding of their corporate masters, who simply want the reduced regulations and taxes that will let them make more money. How the Republican party still has any adherents after the Bush cataclysm is baffling. It's not like their policies are much different. If anything, they are even further down the rabbit-hole. There certainly isn't any mystery to them or what will happen if they are elected.
No, no, no trickle- down works completely; every time we cut taxes for the superwealthy ( the big, players and their corporations) the Chinese workers they hire benefit greatly, often seeing a rise in wages from "slave labor" all the way to "still human rights violation, but Americans need someone to make our stuff."
by Moderndayslave 6 years ago
With the income gap between the wealthiest American's and the soon to be decimated middle or working class ever increasing. How much more proof do you need that tax cuts for the wealthy isn't creating jobs or supplying wages that are holding their own against inflation....
by Sooner28 5 years ago
"To say that "the worker has an interest in the rapid growth of capital", means only this: that the more speedily the worker augments the wealth of the capitalist, the larger will be the crumbs which fall to him, the greater will be the number of workers than can be called into...
by My Esoteric 3 years ago
The bottom line of President Reagan's Right-wing endorsed economic policy is that "if you put more money in the hands of the wealthy, it will, 1) Expand the economy, 2) Let the boat rise with the economy, and 3) Prosperity will "Trickle-down to expand the middle class.None of those things...
by Mike Russo 5 years ago
The next time someone tells you that Obama is destroying the economy, remind them that the stock market and corporate profits are at all-time highs.When they tell you that this hasn't helped them, remind them they've just admitted Trickle-Down Economics doesn't work.All comments are appreciated.
by Ryan Buda 6 years ago
What is the evidence of the trickle down effect of economics?Many politicians claim that wealthy companies equal investment in the people. Is this the best method of mutual growth?
by alexandriaruthk 18 months ago
What is the trickle down theory in economics and is it really effective?Some economic policies justification is that of the trickle down effect. what does this concept mean and how can you know if it really works. Can you really assess it? Please explain.
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