General Discussion
Related: Editorials & Other Articles, Issue Forums, Alliance Forums, Region ForumsSupply side vs. Demand side
It's really simple why demand side ultimately benefits the economy. I'll demonstrate why in a post I made to a supply sider here that just LOVES them, anti-regulation and tax breaks.
Small Business owners don't make more money if people aren't spending more money. Unless people want to buy things, things don't sell. Unless people have money, they don't want to buy anything but food and keep a roof over their heads because that is all they can afford.
Oh wait - novel approach. People have enough money to provide a roof over their head and food. They can afford to demand, and that means your business has to increase output. It does. You hire more workers. They increase output. You cry because you have to actually take care of your workers because suddenly, you are in a demand side economy. You are lazy. The guy down the street loves the demand side economy, hires your workers because he is willing to pay them, produces a bunch, is productive and has a productive staff, and you suddenly have to get off of your lazy supply-side economics ass.
It benefits LARGE corporate types to have supply side economic theories in the short term, but in the long term, they crater. They don't care, though. They have already resigned and moved on by the time the company dies, and everyone's pension has been reduced, destroyed or done away with due to bankruptcy.
Any questions?
It's "I want to work" vs. "I want to steal from everyone as quickly as I can". That's "demand-side" vs. "supply-side".
ibegurpard
(16,685 posts)willing to work for nothing and other people somewhere else on the globe who make slightly more that will purchase the goods they produce.
The problem is that they're running out of wage-slave options...
Aerows
(39,961 posts)can't be outsourced. But what they do is try to surpress wages to make this a supply side.
Until we become demand side again, and people that are actual business owners that want to WORK and PRODUCE instead of leeches that have only an interest in getting enough money to retire in 5 years, we are going to be stuck with this type of economy. There is plenty of money, and plenty of productivity. It's just the people with money aren't productive and the people that are productive aren't getting any money.
ibegurpard
(16,685 posts)and I am a 100 percent believe in strong tarrifs. the purely economic arguments about what leaving production of goods and services to the most efficient (or "cheapest" producers does NOT have any room for societal values.
Aerows
(39,961 posts)HELP. They will most certainly strengthen us.