Message from @Neco2040
Discord ID: 543171371224793108
Every time we deregulate and cut taxes, there is growth for a short period of time, then the economy crashes
But why does supply side cause it?
you do know correlation is not causation
So why do tax cuts and deregulation cause it?
If it happened once, the causation-correlation argument would be reasonable, but it happens time and time again
Nope thats still not causation
Why do tax cuts cause recessions(or the business cycle)
and why does deregulation cause the business cycle
For example, in '08, the market crashed because of the deregulation of glass steagall, banks were investing in deravitives with our money
derivatives*
But glass stegal had nothing to do with the crash
nor was glass steagal fully deregulated
it was deregulated 1/4th
But thats a different topic and I'll debate that later
Why do tax cuts cause recessions? or the business cycle
I don't know how much tax cuts contribute to recessions, but my main issue with tax cuts for the wealthy is that it's harder to balance the budget and pay for programs to help Americans
But then why do you think they cause recessions?
(fun fact everytime a tax cut has happened, tax revenue has risen)
which completely goes against that thought
Not to mention, most tax cuts are for the general population ( which includes the wealthy)
I would contribute most of the blame to deregulation not tax cuts. But tax cuts do play a role as-well. For example, corporations are using their tax cuts for stock buy-backs
which artificially inflates the market
But that still doesn't explain how that causes a recession?
Stock buybacks don't do anything such
And 'fun fact' isn't true
but what do they "inflate"
Neco I can list every tax cut, and it's raised tax revenues
Coolidge tax cuts, Harding, Reagan, JFK, Bush, Trump
These are one of few
THe deficit literally went up
They inflate the stock market
Deficit due to the spending increasing
How do stock buybacks inflate the stock market?
@Neco2040 But thats not the main point actually, my point is these cycles have happened even when supply side policies haven't been in action
So it cannot be supply side policies at place
The deficit goes up every time we have cut taxes, this really isn't debatable
Nope
Coolidge cut the debt by a 1/3rd
and he cut taxes big time
It inflates the market because they are buying stock...
Buying stock does not "inflate" the market