LETTER: Only middle-class tax cuts will boost economy

Trickle-Down hoax

For once and for all, let’s expose the gigantic hoax known as Trickle-Down Economics.

If you believe that giving a tax cut to the wealthy and corporations will create jobs and expand the economy, then I need you to put yourself in the shoes of a small business owner, or a corporate decision maker, and consider two hypothetical scenarios.

First scenario:

Your business has plenty of cash on hand, and the government is giving you a tax cut.

However, your customers — middle class and poor consumers — do not have any money, and as a result, there is no demand for your products and services.

So, are you going to hire more people and expand production?

Of course not.

No business in their right minds would do that.

Second scenario:

Your business is cash-poor and you are not getting a tax cut.

But your customers — again, the middle class and poor — do have some money and they are getting a big tax cut as well.

The demand for your products and services are at an all-time high.

So, are you out of luck with no cash on hand?

Of course not.

There is a whole industry, called banking, which is ready and willing to lend you the cash you need.

The economy begins with consumer demand and only tax cuts for the middle class will result in growth, according to the theory of Bubble-Up Economics.

I think history shows us this, logic tells us this and only GOP lies deny this.

David A. Desautel,

Sequim

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