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By eriknben10
#491858
Stinky Pete wrote:I know you like to argue points whether you actually believe them or not. You can't constantly complain about QE, and then turn around and praise Reagan. Reagan was the king of QE. He spent trillions of dollars that we didn't have, and built up a massive debt that later had to be dealt with. Anyone could achieve those results (in the short term) by borrowing huge amounts of money without any plan to repay it. That doesn't make it a "success" any more than than someone who bought a huge home with a loan they couldn't really afford, and lived in it for a few years until they got foreclosed on.


QE is not Supply-side economics. QE was creating funny money by increasing the money given to the banks to loan. The two aren't even on the same playing field.
Phaedrus liked this
User avatar
By Phaedrus
#491860
The Kennedy tax cut is the touch stone for this, but it was a unique situation. I learned the equation in college and certain conditions related to the marginal propensity to consume have to hold. Subsequent tax cuts have not worked in this way.

You are correct on QE. It's monetary policy not tax/fiscal policy. However, there are some similarities in that the money was held by the banks rather than lent. Tax cuts may also not get invested.
User avatar
By eriknben10
#491864
I agree things need to come together as a whole for the supply-side to work but I think from prior experimentation, the knowledge learned from testing the theory it is worth another look. I think it worked the 1st three times. Fortunately we are going to see how it works in today's economy. As for the assumed trillion it may cost, .04% rise in GDP pays that trillion.
Having said that, I know how to make money in almost any situation because I was prosperous thru it all. Call me lucky if you will. You take money out of my pocket for redistribution, I pass it along to the consumer, so tax away, you will still pay. You put money in my pocket and I can help those in need. The choice is yours.

I'd go back to the Mellon Plan to find the touch stone.
User avatar
By Phaedrus
#491870
As far as I know, the Kennedy tax cut was the only one that recovered the baseline tax revenue. Subsequent tax cuts have just been another way of deficit spending.
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By Phaedrus
#491883
PYONGYANG (The Borowitz Report)—Kim Jong Un is concerned that his long-standing plan to destroy the United States has been made totally irrelevant by the Republican tax bill moving through the Senate, a source close to the North Korean dictator said on Friday.

The source, who spoke on the condition of anonymity, said that Kim fears that his scheme to turn the United States into an uninhabitable hellhole has been to a large extent upstaged by a similar proposal from congressional Republicans.

“You have to understand, destroying America is something that Kim and his family have been plotting for decades,” the source said. “To see the Republicans swoop in at the last second and basically steal that idea—it’s got to hurt.”

According to the source, Kim has been watching C-span non-stop, praying that the Republicans’ plan to end life as Americans know it might come undone at the last moment, but he is “not getting his hopes up.”

“After having such a wonderful missile test, he should be on top of the world this week,” the source said. “Instead, he’s afraid that all his hard work has been for nothing. He now understands why so many Americans despise the Republicans.”
User avatar
By eriknben10
#491888
Your Perspective shuts out the universe, it keeps the love out.
User avatar
By JW
#491898
Phaedrus wrote:PYONGYANG (The Borowitz Report)—Kim Jong Un is concerned that his long-standing plan to destroy the United States has been made totally irrelevant by the Republican tax bill moving through the Senate, a source close to the North Korean dictator said on Friday.

The source, who spoke on the condition of anonymity, said that Kim fears that his scheme to turn the United States into an uninhabitable hellhole has been to a large extent upstaged by a similar proposal from congressional Republicans.

“You have to understand, destroying America is something that Kim and his family have been plotting for decades,” the source said. “To see the Republicans swoop in at the last second and basically steal that idea—it’s got to hurt.”

According to the source, Kim has been watching C-span non-stop, praying that the Republicans’ plan to end life as Americans know it might come undone at the last moment, but he is “not getting his hopes up.”

“After having such a wonderful missile test, he should be on top of the world this week,” the source said. “Instead, he’s afraid that all his hard work has been for nothing. He now understands why so many Americans despise the Republicans.”

It's either one of three things,
1, cocktail hour started early for you.
2, your still smoked up from last night.
3, early signs of dementia.
:shock: :D