4 ms·
The government makes money when they give poor people money, too, and not only that, but other folks make money too because poor folks tend to spend their money
by Broken_Hippo 5y ago
The government makes money when they give poor people money, too, and not only that, but other folks make money too because poor folks tend to spend their money. This is without having to keep track and collect loans.
- kortilla 5y agoNo it doesn’t. The government doesn’t get back the principal + interest like they did from the banks. You’re considering secondary effects, which would have also happened with the money loaned to the banks.
- Broken_Hippo 5y agoI don't have sources that I'm willing to look up, but no, not really. Trickle down economics doesn't work like promised.
- kortilla 5y agoWhat are you talking about? This isn’t trickle down economics. This is just literally paying back interest on a loan and not going bankrupt (Bank of America, Merrill Lynch). There is an immediate first order return and the second order return of not letting the largest banks fail was widely believed to be positive even in retrospect by both Democrats and Republicans. Do you even know what trickle down economics is? I’m guessing no and that’s why you didn’t post any sources. Long story short, it’s about taxation policy, which has zero overlap with “loans for banks vs handouts for poor people”.
- Broken_Hippo 5y ago"You’re considering secondary effects, which would have also happened with the money loaned to the banks." Quote, you. The effects of such a thing simply aren't the same. Poor people aren't helped when you give folks money at the top - which is, after all, what the taxation policy does. It isn't uncommon to include things that aren't strictly taxation in this.
- kortilla 5y agoGiving a loan to a huge publicly traded bank isn’t “giving folks money at the top”. You’re very confused about what is being discussed.