During the second presidential debate, Democratic nominee Hillary Clinton pointed out that the summary of Donald Trump’s plan regarding the economy can be referred to as “trumped up trickle down” economics. This is the idea that cutting taxes for the rich will stimulate the economy and help everyone else along the way.
In fact, this is not the first time the said term is used to refer to a Republican’s plan about the economy. They have been advocating for this idea for a very long time citing former president Regan’s administration as an example. During those times, corporate taxes were slashed and so were the taxes for ordinary Americans. Republicans would like the people to believe that his plans made the economy work again, especially for those at the bottom.
On the surface level, it seemed like Reagan did a great job in stimulating the economy. The truth is that during his administration, there was massive job loss. He has even raised taxes elsewhere just to compensate for the tax cuts that he has introduced. George W. Bush had also tried injecting Reagan’s economic ideologies to stimulate the country’s economy. We have seen how it has led to the biggest recession since World War II.
Tested and proven to fail
It has been tried over and over again, and the results are the same. Cutting the taxes for the wealthy does not necessarily end up in more income for the poor. It simply leaves the wealth on the top 1% of the population. Despite failure, Republicans still keep on introducing this idea as if it were to benefit the people. Governor Sam Brownback of Kansas pledged to make the state as the laboratory where this ideology will once again be tested. As a result, it led to a massive economic problem and shortage of funds in the state.
Kansas has slashed budget for state universities and schools. They have failed to provide basic services to the people. Even the governor’s fellow Republicans are turning their backs on him for still insisting that his idea will work even if facts show otherwise.
Run away from that idea
The next time you hear someone promising you that if elected, he will slash your income taxes, don’t buy that idea. This will simply give them an excuse to cut even bigger taxes for the wealthy. This will lead to loss of jobs, inadequate funds and ultimately, economic recession. You have seen time and time again that it does not work. There is no reason why it would work in the future. You have to be wiser especially in casting your vote for someone with this kind of agenda.
It might sound good at first, but you know how it will end up. The best way to stimulate the economy is to empower the middle class. Equal distribution of wealth is a must if the economy should be lifted up. Concentrating the wealth on the very few who can control these politicians will lead to a disaster.
Featured and 1st image By Max Goldberg from USA (Trump CAUCUS) [CC BY 2.0 (http://creativecommons.org/licenses/by/2.0)], via Wikimedia Commons
2nd image By Avaaz (Berlin United against Trump) [CC BY 2.0 (http://creativecommons.org/licenses/by/2.0)], via Wikimedia Commons