Can Trumps economic plan work?

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(01-23-2017, 04:00 PM)hollodero Wrote: I can't respond to that; which makes it rather strange that I still do. I'm not that smart, wait until I disappoint... :) I can make good points, but struggle mightily with consistency. Boards help disguising that, but don't just overestimate me.


Sure, that's right. I, of course, do not know what it means. Trade agreements happen for a reason - countries think they benefit economically. The issue seems to be whether this translates into people benefitting economically, and there's a chance that they don't. Trade agreements are globalization, and globalization ain't too pretty for the masses. Staying out ain't pretty either. Because others benefitting while you don't is what usually is called falling behind.
I honestly have no idea what's right here. We Europeans also had that TTIP debate until Trump solved that one for us. Couldn't take a stance until the end. So, what does Stiglitz say.


Sure, I do know that... it just seemed like the part you brought up :) I can't tell you if I'm for or against NAFTA from your perspective. I always thought... well, two things a) Canada isn't the problem and b) if Mexico benefits, the US benefits, because less migration pressure and stronger trade partners and so. A poor neighbour seldomly is a good thing. But that is not the most economic or sophisticated stance.


Yup, I'm certain you called your kids Ron and Reg.


Puh, an economic broadcast... there's a reason I don't understand that stuff, which is ignorance. It gets so complicated and opinionated so quickly. I give an honest maybe. I know that's too bad, though.
But I'm sure all in favor of a new kind of economics. Since the old one nearly drove us into armageddon and such.
It just seems to me you just argued that the antics of existing economics (being shortsided and such) are to be considered and the policies need to be put in place accordingly.

Since you are interested and have knowledge: Summarizing your learnings into a short suggestion - what would be the best way to go right now? If you had the power tomorrow because a sexy fairy gave it to you, what would you do? (And please, nothing indecent with the fairy.)

Some simple suggestions, preceded by some facts (alternate facts forthcoming perhaps from the peanut gallery).

In the 1950's and 1960's the US experienced its greatest economic prosperity and the wealth was broadly distributed. The highest income tax bracket was 90%. The minimum wage reached its maximum buying power ca 1968.

So, when your sexy fairy gives me the power, here is where I would start. I would raise taxes on wage earners in the top 20% to their 1950's levels, and leave the rest of the income taxes alone. Yes I know, top wage earners would all vacation 10-11 months of the year to avoid higher taxes, but that is OK. Some suckers would fill in for them. I would eliminate the cap on social security tax on earnings. I would tax investment at the same rate as labor. Yes, I realize this would cause all the hedge fund managers to rush from Wall Street to get regular jobs since now that that their investments were taxed like work they might as well just dig ditches or push brooms or work at McDonald's, but I am OK with that. Some suckers would replace them. I would raise the minimum wage to $20 an hour. That would put it about on par with 1968, and I would tie annual raises in it to the cost of living index. Prices go up 2% or down 2%, so does minimum wage. I would also raise taxes on corporations. If they left America I would wish them well, calculate the annual tax they were avoiding for the next decade based on their previous decades earnings, and politely tell them when they wished to reincorporate in America the cost would be the taxes they avoided multiplied by the factor of five. So in short, the rich pay their fair and are still rich, the workers have a living wage and money to spend, social security is funded, and the giveaways to corporations are a thing of the past. And last but not least, investment is not treated as superior to labor. If I felt like a real prick I guess I would give tax rebates and other goodies to workers - just to let people who make their money investing see what it feels like to be treated worse for the way they chose to earn their money. After all, we all have a choice right? We can go to work every day or we can play the market. (Of course, most working people don't have that choice, it only belongs to investment bankers and the spawn of the rich like Paris Hilton and little Donny T. I bet if she had run against him she would have one. He would have voted for her - she's hotter. Alas, I am rambling. Send that fairy across the pond, pronto!)