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And I'd argue there that, to some degree, it's a matter of breadth of spending and not just depth. Money may or may not trickle down, but it certainly gushes up
by TangoTrotFox 9y ago
And I'd argue there that, to some degree, it's a matter of breadth of spending and not just depth. Money may or may not trickle down, but it certainly gushes upward. So as an obvious example a thousand people selling something for $10 a piece instead of 1 person selling something for $10,000 is obviously much more desirable. I'd speculate that tactics like this won't really increase the breadth of spend, but only the depth - so you simply accelerate the upward flow of income.
That could hypothetically be a good thing, invoking my inner Milton Friedman, if those on top then use that groundswell of 'free' money to then reinvest in their business and everybody moves upward. However in this case, as opposed to general supply side economics at large, you need to show that that subsequent trickle down is more beneficial than what was removed from those at the bottom. I think that's going to be improbable, especially as the merit of supply side economics itself becomes ever more debatable.