Wednesday, October 01, 2008
Lets get ready to....zzzzZZZZ* Rumble
BlogFabulous discusses Reaganomics vs Bottoms up.
by Tracee Sioux on August 28th, 2008
Let’s discuss the different economic theories mentioned in the Democratic National Convention speeches and which will come up in the Republican National Convention- Top-Down and Bottom-Up Economics.
Top-Down Economics is basically what we’ve been doing since Ronald Reagan’s infamous Trickle-Down Economics.
The theory goes like this - if you give corporations tax breaks and they make big profits they will choose to be generous with their employees, increasing their pay and benefits. This helps the economy overall.
Bottom-Up Economics works exactly opposite. That theory goes like this - if employees are paid more and their benefits are great they are more productive and more creative, thus making the company more profitable and competitive. The more profitable and competitive the company is the better for our overall economy.