Quote:
Originally Posted by finnbow
If so, supply-side has been an abject failure and can never reach this objective. It has always led to massive increases in debt which raises interest rates, thereby increasing the cost of capital.
|
Uh, no.
https://www.cnbc.com/2016/11/17/200-...one-chart.html
The other issue you have with your statement about rates is that they are subject to manipulation. On the other hand, even if the Fed chose to raise rates, they'd still be quite low compared to historical averages.
You don't seem to understand that increases in SPENDING lead to debt. It happened in the '80's and its happening now. Tax revenues increased nearly every year in the 80's, but due to Congress's unchecked appetite for spending - and the President's willingness to let it go on - spending outpaced the increases in revenue. Tax revenues also increased for your hero Barry, but he still is the clear winner when it comes to adding to the debt because of....wait for it....SPENDING!