I Believe In Trickle Down Economics

[iamjoy]

yes, I do. I believe that if you cut taxes for the wealthy, it will lead to job creation, including jobs for the poor.

Trickle Down Econmoics is appropriately named, too. We have people in danger of dying of thirst, and they're having to wait for a few drops of water.

True justice would flow as a mighty stream.

[tjwash]

1. Trickle down is when...

...the upper 5-10 percent own everything, and the whole economy is based on servicing their needs.

If you want to see how well it works, look at the old Soviet economic system under the iron curtain. It was pretty much a hyped up trickle down system.

[niallmac]

4. An interesting micro model of this can be found in a ski resort

Like Sun Valley Idaho. I moved up to the area in the 1970's. The bedroom communities
were full of the workers and support staff. Now those communities have been priced out of reach of the working class who have to drive hours from distant communities to their Sun Valley jobs.
The economy in the region is based heavily on supporting the rich part time residents.
There is no sharing when it comes to a desirable area. The land is taxed away from the locals.
Those college kid ski bum jobs? They are eagerly scooped up now by such hard working sorts as the hispanic labor force that knows how to live many to a trailor and everyone works.
Housing becomes scarce then non existent for mere mortals.
In Sun Valley, there is no stable middle class by any reasonable definition.
Welcome to the future.
P.S. I may get a C- on my sociology paper above but it is an accurate accounting of my own observations. Maybe this is the American dream at it's finest in action. Seems sad somehow if you consider the generations old families that lived in the area and can no longer.

[Benbow]

2. So did Margaret Thatcher - it doesn't work - humans are too greedy n/t

[CrispyQ]

3. The only thing that trickles down in TDE is

warm, wet & golden in color. They are pissing on all of us & the stupid ones sell their vote for a $300 tax rebate.

[HillDem]

5. They got the leak fixed

[Greyhound]

6. LOL!

I was amazed at the stupidity of the 'theory' when raygun first started hocking it. I was astounded at the unbelievable ignorance of those who actually bought this pant-load. Now, I'm utterly flabbergasted that their are so many that, after seeing the results for over 20 years, still think this is a valid model! :eyes:

[LostInAnomie]

7. It is an incredibly flawed idea.

It assumes that wealth is created by wealth instead of labor.

It assumes that wealth comes from the top down instead of the bottom up.

It assumes that the wealthy will spend their tax cuts.

It claims the free market as its guiding principle as it turns the free market on its head.

An example of how this idea is flawed came during the first round of Bush's* tax cuts. Warren Buffet who at the time was the second richest man in America said that he had made $1B that year and his tax cut amounted to $100M. That money is not going to be spent on creating new businesses, or even buying huge Yachts or houses. That money more than likely will be placed in the stock market where it is directed to other extremely wealthy individuals who will do the same. Sure some of that money may in a round about way make it to workers but by then it will be so diffused and minimal it won't be noticed.

A better plan would be to give huge tax cuts to the middle class and the poor that make enough money to pay taxes. This would allow money to naturally rise to the top instead of subsidizing the wealthy.