Will Donald Trump bring the return of voodoo economics?
Does a bird shit while flying?
WASHINGTON — The central tenet of President-elect Donald Trump’s plan to speed up the economy sounds fiendishly simple: Cut tax rates and get more tax revenue from faster growth.
To most economists, the proposal is frighteningly familiar. They call it supply-side economics, the theory that encouraged President Reagan to cut taxes so much in 1981 that the government began running huge budget deficits.
George H.W. Bush once dubbed it “voodoo economics.” President Ronald Reagan’s first budget director recently called the concept’s premise “dead wrong.” And one of Reagan’s top economists once knocked the idea that higher revenues would result as “hyperbole.” Even Reagan himself later agreed to a series of modest tax increases to put the government budget on sounder footing.
Trump doesn’t use the phrase supply-side economics, but the formula is what enables him to promise $4.4 trillion in tax cuts over 10 years that he said will not increase federal budget deficits – a result economists overwhelmingly do not believe possible.
http://www.heraldnet.com/business/will-donald-trump-bring-the-return-of-voodoo-economics/
= new reply since forum marked as read
perhaps some new creative labels, but it's the same old Reaganomics.
Free the wealthy and all will be well. Trust me!
the ideology hasn't changed. These people have short memories. They don't recall how horrible the life of a Real Estate agent was 8 years ago. They accept Cheeney's explanation when he said "stuff happens".
