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Trickle down economics didn't work. What do you think about trickle up economics?
So what happened with trickle down economics was that tax brakes and subsidies were given to wealthy business owners in "hopes" that they would in turn put it into their companies thus expanding them and creating more jobs. All the while giving raises to the people who were working there to begin with.
What happened? They kept the money, pocketed the tax brakes, and outsourced the jobs. So NO trickle down economics didn't work.
Now we went and bailed out banks and car manufactures and STILL left the working man hi and dry. Oh they gave us all $300-$600 to spend to get the economy going. That would have been like giving Chevrolet $60,000 and telling them that's THEIR bailout money.
Here is what I think should have happened.
They could have taken the $700,000,000,000 (that's seven hundred BILLION dollars) found 14,000,000 (that's fourteen million) households and given them $500,000 each with a few stipulations.
#1. They would either have to buy a moderate new home, or have their existing home completely remodeled and updated.
That would be either 14,000,000 new homes being built or rebuilt. There goes the housing problem.
#2. They have to buy at least one brand new American made car.
That's 14,000,000 new car sales. There goes a boost to the car industry. That problem solved.
#3. They would have to hire a financial adviser and invest a sum of their new wealth in the US stock market.
Stocks climb. Now the money starts to make money for them. This would put a bunch of accountants to work, and give our stock market a boost.
#4. Put the rest in an American bank. Open an account that will be for a percentage of their stock earnings and interest from the bank holdings. Once that account reaches $500,000 you have to pay it back to the government.
$700,000,000,000 deficit solved.
Do you think this would work?
5 Answers
- V2Lv 61 decade agoFavorite Answer
Problem certainly is that middle class in US is going bankrupt. It also means that companies can't sell their products in US. Big companies are looking for new markets overseas and small businesses barely surviving. Riches are playing globally - they are moving their money from market to market very fast, so if something is trickles down, it's very likely to be in India or China.
I think you're right, because your ideas would help put some money into the middle class hands.
- Smart KatLv 71 decade ago
Do you doubt whether or not TAXES and added costs of regulations will trickle down?
- Anonymous1 decade ago
Wow, you put a lot of time and work into this question. too bad it is all wrong.
- Anonymous1 decade ago
I prefer TICKLE-up economics.
If nothing else, it leaves everyone laughing.
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- Anonymous1 decade ago
Communism failed miserably.