Now it's time to focus on Demand-Side Economics!

Here it is, one main reason the USA is stagnating economically:

This next chart shows similar information, again showing flat wages but including rising Productivity!

Together, they include....the way to fix the economy!


We tried several versions of "Supply-Side economics in the past thirty years. Just take care of the top % (the "Investing Class" or lately "Job Creators") and the prosperity will 'trickle-down' to the middle and lower class.  Trickle Down. As Reverend Al says, "we got the down, but no Trickle.

Bottom line? It hasn't worked, not during Reagan, and not under Bush. Twice.

Reagan Tripled the debt. Tripled the debt. Trible down, Ronnie.

Well then, how 'bout Bush, what did he do to the Deficit?


Here's what he did


2007    161   billion
2008     459    billion
2009   1413  billion 

What is that?   Really?  We went from 169 up to 1413?  Billion?  Dollars? No way!

Yes, way.

How many times does 161 go into 1413?  8.something?

So if Reagan Tripled the debt, Bush Octoogled the Deficit!

What about Obama?  

2010   1293
2011   1300
2012   1089
2013     901

Wow. It goes down?  Yes, it does!  Obama reduced the deficit.

Check it out. If you learn this stuff, you will sound really smart when talking politics and economy. Or you an ignore it and be thought of as a Republican. Ouch.

http://www.usgovernmentspending.com/federal_deficit_chart.html  


 So what do we do to fix the economy? Look at the next chart. It shows us that the Middle Class has been getting a smaller share of the overall wealth than anytime in the last 80 years.

 That's because the top 1% is taking a higher share than anytime since the Great Depression.  Let's do the math.   If the top 1% takes 25%, how much does that leave for everyone else?

75%  YES! GOOD!  SO 400 PEOPLE GET 25%, HOW MANY PEOPLE SPLIT THE REST?

Consider this:
 As of 2011,  the top 400 people in America own more than the entire bottom 60% of Americans.
 

We should spend money on the Middle Class.  Just like the plan that saved the Auto-Industry, which was direct government loans to the industry, in place of private loans which were not available.  Government investment saved that industry. And we are making a profit as they pay back the loans.

This money stimulated the industry, enabled a structured bankruptcy and debt renegotiation, and the resulting economic vigor has made the auto industry vibrant again.. 

The Middle Class is the Demand Side of supply and demand.  When  Demand has the ability to buy stuff,  (desire & resources),  Supply can step up, hire people, open factories and make stuff to sell. Then Investors can jump on that economic activity, and assist businesses large and small to fight for that business.

It really helps to have a 'new product' a wave of excitement, either through new product or a new technology to get an economic push going.

Taht da da daaah! Anouncing 
"The Green Look American Makeover, USA! 
 ("GLAM USA")

The main motive behind the rebound should be repairing our infrastructure. It's needed, it uses a wide variety
of skills that American Workers have in spades, and it's patriotic! 

Don't just Rebuild it, Re-Brand it. 

Join "The Big Build"! A series of Big Projects requiring a Giant manufacturing and Construction overhaul

Join the Green Movement" - Glam USA 's leap into the future Greening of America, learn New skills, bring old ones to a new industry from wind to solar to Geo thermal.

The Old Bulls, GLAM USA's Old-school energy players competing for efficiency and safety records as the way to win government contracts. Challenge traditional industrys to show how clean, safe and efficient energy can be delivered, using old-school philosophies and modern technonligies.

Reward clean and safe over pure volume.  

The varieyt of ways to join the project cna build team unity and freindly copetition betewwen the agencies to make America the best looking, nost productive nation on earth. Set up[ so that the invesment class can win and retain the glory position, by changing the corporate outlook of oil at all costs, to clean energy and safe delivery. That wins contracts, as do favorable tax positions.

By investing in the country we can take every area of society up to the H-N-L, a hole-nudder-lebel.  



By providing the original investment and the market (government contracts, the government can put people to work, help raise incomes and lower the unemplopyment rate, and repair our crumbling infrastucture. American reboot!

A perfect nations project to inspire pride and get community involvement. When you raise the GDP, you really do generate more income, enough to run a surplus. and raise wages.

By raising the Middle Class's stature and abilioty to buy, and buy making 'supporting the rebuld' a patriotic endeavor, we can create a new young-persons volunteer crew to manage the work and bring it to our communties. We can generate civic pride and contributios from every sector of our society.

A bright and shining rebuilt and remodeled, economically secure  America will rebuild our tourism brand and viatlize travel ni both directions. our stronger dollar and viable economy will spark similar efforts across the first world nations, and the rising GDP will raise enough income to lower our debt and being Europe's economy along with us.

This is a golden opportunity, folks. We need to get behind Obama's Rebuild America plan ! (well, I'm sure he will see the wisdom of this assoon as I teach it to him!)