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Trickle-down economics, or “trickle-down theory,” argues for income and capital gains tax breaks or other financial benefits to large businesses, investors and entrepreneurs in order to stimulate economic growth. The argument hinges on two assumptions: all members of society benefit from growth; and growth is most likely to come from those with the resources and skills to increase productive output. — What is the ‘Trickle-Down Theory’?
Ever since the 1972 Wage-Price Freeze, especialy since the Regan years, there has not been a ‘trickle down theory’, but rather a trickle up. The Paradise Papers have demonstrated, as more and more tax loopholes were established, there has been Trillions of Dollars Trickling up’ for the 1%! The following quotes demonstrate this fact:
From: Every Country Is a Tax Haven: Details about tax havens, secret bank accounts, and trillions of dollars of revenue being kept offshore have resulted in calls for a more equitable global system of taxation, a crackdown on tax havens, and for the super-rich to pay their fair share. But while attention focuses on places like Panama or the Bahamas or Bermuda, the so-called sunny places for shady people, the truth is nearly every rich country is a tax haven of some sort. . . . Details about tax havens, secret bank accounts, and trillions of dollars of revenue being kept offshore have resulted in calls for a more equitable global system of taxation, a crackdown on tax havens, and for the super-rich to pay their fair share. But while attention focuses on places like Panama or the Bahamas or Bermuda, the so-called sunny places for shady people, the truth is nearly every rich country is a tax haven of some sort.
The ‘prosperity’ of the last 5 decades is attributed to the success of the ‘tickle down economic theory’. But it is, in fact, due t0 the working class’s wages trickling down. The only ‘trickle down’, since the wage-price freeze, has been the average weekly earnings of the 99%! The graft below, found at Shadow Government Statistics, demonstrate this fact:
Shadow Government Statistics: Real Average Weekly Earnings (Benchmark Revised) Production and Nonsupervisory Employees Deflated by CPI-W versus ShadowStats-Alternate (1990-Base) 1965 to September 2017, Seasonally-Adjusted [ShadowStats, BLS]