Trickle Down Economics

I pust posted this below but I updated it and I thought it was too good to let it stay down there.

I think the model of trickle down economics works with all else being equal. The problem is that the U.S. has a trade deficit and some of the money slowly trickles away. It really moves away when we give money to the U.N. and various countries around the world. So we have "trickle over" or "trickle away" economics.

Bottom up economics is based on the Keynesian theory that says, "If you want to sitmulate aggregate demand, just put some dollars in the hands of the people." But where does this money from the government come from? It comes from taxpayers. If all of that tax money wasn't taxed, it would have been eventually spent on something anyway.

I believe that being poor is a mind set. Look at what the poor buy. Some buy drugs. They buy other things that they really don't need like cell phones. How about getting an old fashioned phone line and start up a savings plan for 10 years. Some of them buy rims. The rims on my car are not fancy at all.

So why blame the big companies? Liberals think the rich have taken the money away from the poor. They think it is a zero sum game. They are stuck in one dimentional thinking that wealth is generated from money. Think of it this way. If I went out and grinded up some stones and chopped down some trees and built a house from these materials myself, I didn't necessarily have to spend a dollar to do it.

"Curing the disease called liberalism...., Resistance is futile."

Traderdrew