Tag: supply side
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Cutting Taxes Creates Growth: Yeah, Right
Cactus at Angry Bear does yeoman’s work yet again to drive a spike into the heart of voodoo/trickle-down/supply-side Reaganomic ideology, demonstrating what economists have known for decades: Keynes was right. Over the short term–one to three years–raising taxes hurts economic growth. Deficit spending (read: low taxes and high spending) promotes economic growth over the short…
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All Cashed Up with Nowhere to Go: What Caused the Depression(s), and What to Do About It
I’ve been meaning to post about this great two–part article by James Livingston (H/T to Mark Thoma), on the causes of the Great Depression and the current…whatever it is. Livingston’s explanation for both cases (in my words): There were oceans of money with not enough productive uses available (like, investments in physical plants and wages–things…
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More on Equality and Growth
I just came across this graph that I created a while ago, and never got around to posting. Trickle-down theorists would have you believe that inequality is necessary for growth and prosperity, or even that inequality causes growth. But in the decades after their theories took sway, growth declined. It came after therefore it was…
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Who’s Fiscally Responsible?
This is old news, but here are the latest figures. Federal Debt: 1940–2019: (Updated 1/31/2010) Yet another of those telling inflection points in 1980. (With a brief respite in the late nineties.) The red line–Gross Debt–is the scary (and actual) one; it includes loans from government trust funds (mainly Social Security) that will have to…