If it did, then explain this: Unemployment averaged
7.5% during the Reagan administration, compared with
6.4% under his predecessor, Carter. The nominal debt
rose from 900B to 2.8T dollars during his administration,
an increase of 111%. Real hourly earnings fell from
8.7 dollars to 7.7 dollars during the same period. Wade
wants to know: "What gives?"
https://answers.yahoo.com/question/inde ... 253AA95y35
busterwasmycat answered ......
It worked, in a way. The recession that affected the
early years of the Reagan Administration was already on
its way when he took office. Reagan, perhaps without
realizing it (you never know with Reagan, because he
wasn't the brightest bulb in the room if you know what
I mean), used classic Keynesian economics to stop the
recession: cut taxes and raised spending. The only
problem was that once the problem was eliminated, he
didn't go back to balanced budget, which is what should
have happened (AIPAC was always waiting in the wings).
He thought that the miracle trickle-down theory was a
magic bullet that would forever solve America's economic
problems. Time showed otherwise.
