Dugdale_Jukes
Senior Member
- Dec 30, 2012
- 2,015
- 267
- 48
"Trickle down theory--the idea that cutting taxes for businesses and upper-middle to rich folks, or the "job makers", will lead to economic growth and wealth "trickling down" to the lower class--seems to make sense. If the people who make business decisions have more money, they will be more likely to expand their business, thereby generating more work and wages in general. It's logical!" - header horseshit
Uh, no, it isn't logical.
Demand drives economies. Obama's stimulus is also supply side albeit through state and local government, and look at how badly it failed at doing anything except saving the most worthless jobs in America - government worker jobs.
Gary Johnson wasn't far off when he said "My dog has created more shovel-ready jobs than Obama's stimulus."
Giving money to corporations via tax breaks or actual cash to state and local government does save some jobs and create a few, but only in the most miserably managed organizations. Well run organizations INCLUDING state and local governments plan for ups and downs. Poorly managed organizations don't.
The reason the economy is coming back at retail level is the top third of hired income earners PLUS the wealthy are spending like drunken sailors again. All the bourgeoisie lost in the recession was faith in fictional home value and the hot air in their 401ks. It took their breath away for four years, but now their portfolios are fat again and lost home value isn't a primary concern: they are partying like it's 1999. The recovery has maybe ten percent or so to do with the trillion that moron in the white house pissed down the drain through state and local government in other words.
If in his first few weeks Obama had negotiated a hard fall for banks including breakups, the end of too big to fail, restoration of Glass Steagall and repeal of CFTMA PLUS a tax holiday on individual incomes under $50,000 the bad debt that is freezing the economy today would be gone and Main Street economies would have avoided the worst of the recession (because people making less than about $50,000/a don't save much, they spend about as quick as they get it).
Not to mention social security would be healthier.
Farmers used to assess the quality of mind they were dealing with by asking this question: "If you call a tail a leg, how many legs does a cow have?" Supply siders say "Five". Realists know the answer is "Four" because calling a tail a leg doesn't make it a leg.
Bottom line: demand drives economies. About half the inheritors on earth die broke. People who fill demand efficiently die rich enough to make their children inheritors, half of whom will die broke.
Next.
Uh, no, it isn't logical.
Demand drives economies. Obama's stimulus is also supply side albeit through state and local government, and look at how badly it failed at doing anything except saving the most worthless jobs in America - government worker jobs.
Gary Johnson wasn't far off when he said "My dog has created more shovel-ready jobs than Obama's stimulus."
Giving money to corporations via tax breaks or actual cash to state and local government does save some jobs and create a few, but only in the most miserably managed organizations. Well run organizations INCLUDING state and local governments plan for ups and downs. Poorly managed organizations don't.
The reason the economy is coming back at retail level is the top third of hired income earners PLUS the wealthy are spending like drunken sailors again. All the bourgeoisie lost in the recession was faith in fictional home value and the hot air in their 401ks. It took their breath away for four years, but now their portfolios are fat again and lost home value isn't a primary concern: they are partying like it's 1999. The recovery has maybe ten percent or so to do with the trillion that moron in the white house pissed down the drain through state and local government in other words.
If in his first few weeks Obama had negotiated a hard fall for banks including breakups, the end of too big to fail, restoration of Glass Steagall and repeal of CFTMA PLUS a tax holiday on individual incomes under $50,000 the bad debt that is freezing the economy today would be gone and Main Street economies would have avoided the worst of the recession (because people making less than about $50,000/a don't save much, they spend about as quick as they get it).
Not to mention social security would be healthier.
Farmers used to assess the quality of mind they were dealing with by asking this question: "If you call a tail a leg, how many legs does a cow have?" Supply siders say "Five". Realists know the answer is "Four" because calling a tail a leg doesn't make it a leg.
Bottom line: demand drives economies. About half the inheritors on earth die broke. People who fill demand efficiently die rich enough to make their children inheritors, half of whom will die broke.
Next.
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