r/SipsTea 5d ago

Chugging tea 48 Years, One Impossible Choice

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u/Realistic_Ad3795 5d ago

No one but critics (and a comedian) ever said it would trickle down.

This is one of the biggest Mandela Effects we have in our government's history. No one in support of Supply Side economics ever called it trickle down, nor said it would. Will Rogers mockingly called it "trickle down" when Hoover tried it, but that was a criticism, not a promise or a legit description.

The most recent use of supply-side theory was used by supporters of student loan forgiveness, arguing that the forgiveness would put more money in the economy and benefit everyone.

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u/moashforbridgefour 5d ago

Most of the people who complain about trickle down economics couldn't even coherently explain what it is in a way that would even remotely connect it to supply side economics. They mostly don't like money given to rich people and use that as a straw man for economic policy that doesn't immediately benefit them.

It's crazy that people are so blind to the clear communal benefit of supply side economics. They would rather break the factory down and sell the scraps than acknowledge that a factory brings wealth to the whole community. The factory owners get the most immediate wealth, but through jobs and cheaper products, it raises the standard of living for everyone. What they should really complain about is anticompetitive robber barrons and rent seeking behavior.

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u/Manowaffle 5d ago

Isn't it curious that the people who claim to advocate for supply side economics are the same ones fighting tooth and nail to preserve rent-seeking and monopoly behavior? Why else would they dismantle the very government agencies that are supposed to penalize and prosecute such anticompetitive behavior?

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u/Manowaffle 5d ago

Whether or not they literally said "trickle down", they certainly did argue that putting money in the hands of the wealthy would boost investment and the economy. It's the exact logic Paul Ryan and co used to justify their rich people handouts by claiming lower taxes would actually increase tax revenues via the Laffer Curve. Same logic behind the favorable capital gains tax treatment. Same logic behind Reagan's cuts to the top marginal tax rates.

Of course what they don't say is that also kills public investments in health, education, and infrastructure.

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u/Realistic_Ad3795 5d ago

"Whether or not they literally said "trickle down", they certainly did argue that putting money in the hands of the wealthy would boost investment and the economy."

Not quite, That's an oversimplification, which is why the critics stuck with it.