Supply Side Economics
This is the direction we started heading towards under President Ronald Reagan in the 80's
The idea is that as you increase supply and manufacturing you make the economy better for everyone. If companies are making more things they need to hire more workers.
So the proposal was tax breaks for the wealthy and big businesses and tax holidays so they would bring money back into the USA from overseas.
Demand Side Economics
This is the idea that if you increase wages and the ability for consumers to have more money they will buy more stuff. It is the model we had when Labor Unions were at their strongest.How Do We Improve Things for All?
We need to increase the minimum wage which would increase everyone's wage and spending power while not increasing inflation, or even better lower inflation. We already have proven lowering taxes does not help and worse it increases the national debt which raises inflation and causes problems for our kids. By ting minimum wage to inflation we permanently solve the problem where the dollar does not go as far as it used to.
We also MUST lower the national debt and increased wages means increased taxes even if the percentage stays the same.
Some Terms
Economic Development -Economic Growth -
An article on the key differences between them
Inflation -
GDP - Gross Domestic Product
The US Economy: A Brief History If your in a hurry skip to The Postwar Economy: 1945-1960 This and later sections best relate to the modern era.
Random History: A History of the US Economy another good piece.
60 Years of American history in 1 graph
The Lost Decade of the Middle Class
Democrats usually better for the economy
Debt Crisis a short and simple video clip
Seriously this one is worth watching!
IOUSA The Movie A 30 minute clip on the National Debt
A series of possible solutions Part 1 of 5
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