Reagan Trickle Down in action...class is in session.

The "Reader's Digest" version of Trickle Down Economics (for those in our audience who don't know) is that what's good for the producers, the capitalists, the risk takers, the employers, the wealthy amongst us is good for everyone down the economic ladder. If you lessen the burden on the entreprenuers, the people who own and run America's economic engine then they will in turn hire more, risk more, and spend more. This spending keeps the economic turbines spinning. If the rich man earns his high wage, he then buys the larger home, where the realtor earns a high commission, she in turn buys a better car, where the car salesman earns a nice commission, he then can afford to buy his wife a better dining room suite at the local store, and on and on. The money "trickles down" to every segment of society over and over throughout the fabric of America's people. For those of you who want a real story, one you actually can believe...here is the reverse trickle down when times are tough.

The economy is terrible right now, I don't have to tell you. Mortgages are tough to sell right now because the requirements are tightened and appraisals way down, the income isn't there and the debt is high for most borrowers. I have an employee right now who isn't making the money she was in 2007. We share the same housekeeper, as many in the company. The housekeeper cleans her home once a month for $85/per and is excellent. She cleans my home twice a month for that same per amount. She usually spends about 3 hours time in which work chores are shared with her mother. When people are making lots of money, people like my employee buy luxury goods and services in addition to necessities. When people don't do well, she has to make cuts in her lifestyle which affect the next levels down. The housekeeper garners more clients and prospers when money is trickled down to her and the business grows. Our friend informed my wife yesterday that she was letting the housekeeper go and cleaning her home herself...in addition to working a 10-hour day. That's $85/per X 12 mo for a total of $1028.00 that the housekeeper just lost in the blink of an eye! As the chaotic economy comtinues on, how many of those lost contracts could she suffer before cutting down on her personal "trickle down" spending?

Think about this example the next time you cry for the "rich" to be taxed more and more in order to pay for your healthcare, your education, your unemployment checks, your disability payments, your free this and that. I want the wealthy to buy big and expensive. You all should be pro-rich when given the chance. What's good for them, ultimately, is good for you. Ditch the envy. It's simple economics. Many, though, never elected to take the course. Class dismissed.