Obama: Why Reaganomics Didn't Work. Spread the Wealth

Reaganomics

"Reagonimics was not needed in the 1980s"? OK. What was needed was 4 more years of Carter with double digit inflation, unemployment and interest rates. Save the terrorists running the show for later... Markets are now going down after socialism took the housing market to hell. Raise taxes, raise salary levels and raise government expenditures. And close borders to trade. An Obama presidency creating misery, after a world war, would be credited with saving the USA economy just as Roosevelt is credited. This is history written by socialists, or by ignorants.

Jaime of VA @ Oct 22, 2008 07:27:38 AM

The concept that taxes keep Americans from investing is a nice concept born in the ivory tower. In the 80es the savings rate wat around 10-20%; currently not only we don't save, but US turned into the debtor nation.

Under Bush the failure has been most spectacular. He lowered the tax rate and created huge deficits. We are owned by SWF's and own tons of money to foreigners. So where's the helping hand of taxes and investment?

Andy of IA @ Oct 21, 2008 20:33:56 PM

"So tell me again how this is the all liberal’s fault and how my thinking is flawed."

Your thinking is flawed because you absolve responsibility to any liberal. Your thinking is thus: if some more logical factor might explain the event then logical factor caused said event. If, however, GOP = President, the event can be explained by the fact that the President, being a GOP, is the cause, not the logical factor. Bush = President = GOP, therefore the logical factor that might explain the event is caused by Bush, who is a GOP President.

Does not compute.

Chris of AZ @ Oct 21, 2008 18:31:16 PM

Double-Hex-Back Flawed Conclusions

But the sub-prime debt ballooned under Bush II as did the national debt. Both have overloaded the money markets and have created the crisis. Bush is going to leave office almost doubling the national debt from $5.7 trillion to over $11 trillion. The economy on his watch was fueled by prosperity borrowed from the future. Perhaps Clinton opened the door on the sub-prime markets but Bush and the Reaganeconomists drove a freight train through it. There is also an emerging scandal that DCI, a Republican Consulting Firm, was paid $2 million by Freddie Mac to kill any legislation to regulate it. DCI solicited and secured the help of 17 Republican senators to kill any legislation that would regulate Freddie.

So tell me again how this is the all liberal’s fault and how my thinking is flawed.

Neal of CA @ Oct 21, 2008 18:01:52 PM

"It's a little bit unfair to claim that America has the second highest corporate tax rate and not also mention that we also have one of the lowest rate of effective corporate tax rates of any of the countries that participate in the OECD."

How can you have both the second highest corporate tax rate of developed nations AND the lowest effective corporate tax rate of countries in the OECD? Methinks you are playing word games to describe the same thing (kinda like a certain Democratic Presidential candidate).

Chris of AZ @ Oct 21, 2008 17:59:49 PM

Flawed conclusions

You forget that Mr. Clinton signed the law that allowed the credit selling.

http://www.spectator.co.uk/print/the-magazine/features/2189196/clinton-democrats-are-to-blame-for-the-credit-crunch.thtml

So many people don't realize how long it takes a President's economic policies to have any real impact.

Billy of MO @ Oct 21, 2008 16:25:42 PM

Logican Conclusion to Reaganomics

Reaganomics has reached its logical conclusion...a financial crisis. The marginal success Reaganomics had was due entirely to borrowing money and prosperity from the future. The national debt has been run up to nearly $11 trillion ($75,000 per tax payer) and the Fannie & Freddie sub-prime debt that fueled the Bush II economy was run up to $5.5 trillion (another $40,000 per household). Now the tax payers are needing to prop up our financial systems because there is no more money left for the Reaganeconomists to borrow and it remains to be seen that there is not a complete collapse.

Neal Wickham of CA @ Oct 21, 2008 15:59:43 PM

corporate tax rate

It's a little bit unfair to claim that America has the second highest corporate tax rate and not also mention that we also have one of the lowest rate of effective corporate tax rates of any of the countries that participate in the OECD.

Dan of DC @ Oct 21, 2008 15:55:16 PM