You Gotta Give Reagan Credit

February 8th, 2011
  1. ramster
    February 10th, 2011 at 08:27 | #1

    Without reading Presimetrics, it’s hard to know how carefully they shade their conclusions. I don’t blame Bush Jr. for the financial crisis, nor Reagan for the 1980s recession, though both events happened on their watch. So who’s to say that Reagan was in any way responsible for that growth? Could have been a combination of business cycles, Fed policy, or just random events.

    And I’ll bet a big contributor to the Reagan deficit was reduced tax receipts from the recession. Again, just a hunch.

  2. jkljkljk
    February 10th, 2011 at 13:34 | #2

    Yeah, gotta look at the long term. i.e.:

    http://usgovernmentspending.com/downchart_gs.php?year=1930_2010&view=1&expand=&units=p&fy=fy11&chart=H0-total&bar=0&stack=1&size=l&title=&state=US&color=c&local=s

    Notice the inflection point: 1981.

    The inflection point on GDP growth and median income came a bit earlier, but it has been strongly exaggerated since ’80.

Comments are closed.