Quote:
Originally Posted by CaptainHaplo
In Jan 1980, we started a recession. By the end of 1983 unemployment was at 9.6%. However, the fiscal policies of ERTA (the "Reagan tax cuts") began to show results - while the labor pool grew by more than 6 Million people - unemployment dropped over 2% in 1 year. *It takes time for investments to create jobs - factory build time, etc...* Compare that with a job pool that has SHRUNK in the last 2 years.
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I will call foul on this. The Reagan 'tax cuts' also featured rollbacks and tax increases in both 1981 and 1982. Additionally Reagan compensated throughout his administration by increasing the payroll tax. As such, the Reagan tax cuts, and their effect on the economy is misleading. Reagan benefited by being in office during a natural cyclical economic upswing. Those supposed tax cuts and their effects are largely ahistorical and used as propoganda by so-called 'Reagan Conservatives' to justify thier image of big government.
I like you Haplo, but I think you are wrong here.