Trickle down economics was the lie that said if you made the richer more wealthier, everybody would get richer, and all boats would rise with the rising tide. The American public bought it under a massive media propaganda blitz, and Reaganomics was born.
Trickle down economics, in reality, was an income redistribution scam designed to redistribute income from the 99 to the 1 percent, and, as you can tell from the graph above, it has worked really well.
It all began with President Ronald Reagan and his tax cuts for the rich. Thus ended the most prosperous period for the middle and lower classes in US history as trickle down economics sucked more and more of their income, like a vacuum cleaner, right up into the pockets of the affluent.
The affluent used their new found purchasing power via the tax cuts to corrupt government to the maximum. They bought legislation to redistribute income into their already fat wallets. In short, that’s how we got to where we are today.
- The worst economic expansion in terms of job growth in US history.
- The worst economic expansion in terms of wage growth in US history.
- The best economic expansion for the rich in US history, where 95 percent of all wage growth has gone to the 1 percent since 2009.
- Rising poverty.
- Rising permanent unemployment
- The top 1 percent steal 37 percent of all income produced in the United States, compared to 8 percent in 1980, when Jimmy Carter was president.
There are some interesting things we can now see that have remained clouded to our eyes due to the media propaganda.
It makes one understand that Jimmy Carter was the last great US president. Everybody else has been a puppet of Wall Street. Under Carter, wages rose, and more jobs were created per year on average than under any other president since. He also staged a diplomatic coup when he engineered the Camp David Accords. Makes you wish for the good old days doesn’t it?
Sure, Carter had a few failings. There was relatively high inflation. You know, something like 6-8 percent per year. Carter appointed Paul Volcker to head the Federal Reserve. Volcker jacked up interest rates until the Fed crushed inflation. So Carter should be given credit for eliminating the 1970s inflation during the early 1980s, when he was already out of office. But guess what?
The federal government has changed the way it measures inflation 20 times since Reagan took office, so that unofficial inflation today is running at 6-8 percent. The government no longer counts energy and food prices, like it did back then. That’s why a can of tuna has increased in price from 3 for a dollar to 1 for a dollar over the last five years, and it isn’t among the items the government uses to determine the official inflation rate.