The quoted excerpt below comes from an excellent post debunking the claims that trickle down economics is the engine of our economy. Read the post in its entirety. My comments to it follow the excerpt.
“Demand comes before supply, and this works as a loop. Take away the money consumers have to spend and there is no longer any demand. The rich would be wise to help the middle class instead of trying to squash it. We’ll all be better off when we’re all better off.”
I find this intuitively obvious, hence, I am so glad to see it in writing! I am sure it will be debunked or ignored by those who wish to remain blind to it, fervent believers in trickle down economics, or others who place their trust in the financial élite…
I alluded to it in a couple of posts last year as follows.Post #1: The Perils of Poverty “I also wish that those who have so much in our country would realize that their continued success, as well as our nation’s, depends upon all succeeding; that the wealth they accumulated sprung from the combined efforts of tens and hundreds of millions in our society, not just the effort of the élite. For as we see spreading rampant across the Middle East, when a large segment of society feels as if they are not sharing in the benefits of freedom, to include a living wage with hope for their future, and that of their progeny, the balance of power shifts forcefully, leaving those at the top scrambling for safety.” Post #2: Jerry Brown’s Ed Plan “Our trajectory as a nation is down in many dimensions. This scares me, and I fear for my future, my children’s future, as well as their progeny. Hopefully, we seem to be waking up to the stark reality we all face if we continue with the status quo, or worse yet, let the public system be dismantled by the few “lucky” beneficiaries of the capital explosion that took money from the poor and gave it to the rich; a reverse Robin Hood era in our nation’s history.”