In 1981, the supply siders commandeered the Reagan Presidency and employed their Voodoo economics .. http://zfacts.com/p/voodoo.html .., as Bush senior had called it in 1980. He was saying that tax cuts would not increase government revenues. As you can see above, the Voodoo failed just as Bush predicted, and the supply siders turned a 32-year winning streak into a debt disaster that continues to this day. For 20-years, under Reagan and the Bushes, the national debt increased compared to GDP every single year. In most other years it decreased. Twenty years in a row can't be just an accident, but to understand you need to learn the voodoo strategy. .. http://zfacts.com/node/106 .. (Why Debt / GDP ?) .. http://zfacts.com/node/384
~~~~~~~~~~~~~~~~~ Insert from link - What Are the Four Causes?
1. The biggest cause: Reduced tax payments 2. Second: Automatic increases in unemployment insurance and food stamps, and people starting social security early because they can't find jobs. 3. Military spending also increased, but is now fading. 4. Bush's TARP and Obama's Jobs Stimulus (top layer) account for little of the deficit, and they are temporary.
* The deficit is from the safety-net helping the poor and the unemployed in a terrible recession, and helping all of us (including businesses!) with lower taxes.
Bush senior fought against it, so the Republicans didn't support him and he lost to Clinton, who put an end to it supply-side economics. G. W. Bush brought it back full strength, with V.P. Cheney saying "Reagan proved deficits don't matter." Currently supply siders are in full control of the Republican party.
The green line shows what would have happened to the national debt if Reagan and the Bushes had balanced their budgets as Reagan claimed he would. G.W. Bush, in all modesty, claimed he would "retire nearly $1 trillion in debt over the next four years. This will be the largest debt reduction ever achieved by any nation at any time."
Conservatives are quite embarrassed by this performance, so they have invented a cover story: The Democratic Congress did it. Nice try. But for 12 of the 20 years the Congress was not Democratic. Also, presidents can veto, and when it was Democratic, Congress passed smaller budgets on average than the Republican Presidents asked for. Presidents propose the budget, and they have the most influence. Check it out. .. http://zfacts.com/p/57.html
News 
Market Data 
Discover 
AI
