Trickle down as an economic principle was ripped from politicians' vocabularies after the Reagan administration. Speech writers and political strategists felt it put too much emphasis on giving to the rich and letting it "trickle" to common folk.
While vocabularies have changed, tactics haven't. Bailouts have been aimed at rich corporations. Even the "Cash for Clunkers" wasn't designed to help people; it was crafted to sell cars and prop up the auto giants. The premise is that if the banks and corporations prosper, the economy will grow and bailout main street, even though most of the economy is based on small businesses and consumer spending.
Additionally, main street is about to be hit with another "trickle down." Now that corporations have been bailed out, both Timothy Geithner and Alan Greenspan have predicted that taxes will have to be increased to pay-down the federal deficit.
Hopefully, Americans won't go along with higher taxes, but they are going along with the premise. Most even believe that subsidizing insurance companies, health companies and rich doctors is the best way to provide affordable health care.
It must be said--no, screamed from the roof tops,
"Trickle down works only if you want wet socks!"
Dennis A. Carroll, 3 August 2009
