Voodoo economics is the term George H.W. Bush used to describe President Ronald Reagan’s economic policies before becoming his vice president. In theory, voodoo economics – or “Reaganomics” – aimed to encourage spending and investing, boosting the economy.
Who said voodoo economics?
While running against Reagan for the Presidential nomination in 1980, George H. W. Bush had derided Reaganomics as “voodoo economics”.
Does trickle-down economics work?
Trickle-down theory is considered infeasible outside of this range. Trickle-down economics generally doesn’t work for the following reasons: Tax cuts for the wealthy don’t often translate to increased consumer spending, rates of employment, and government revenues in the long term.
Who is the economist associated with supply-side economics?
supply-side economics, also calledtrickle-down economics, theory that focuses on influencing the supply of labour and goods, using tax cuts and benefit cuts as incentives to work and produce goods. It was expounded by the U.S. economist Arthur Laffer (b. 1940) and implemented by Pres. Ronald Reagan in the 1980s.
What place in the US is known for voodoo?
Synonymous with New Orleans, voodoo first came to Louisiana with enslaved West Africans, who merged their religious rituals and practices with those of the local Catholic population. New Orleans Voodoo is also known as Voodoo-Catholicism. It is a religion connected to nature, spirits, and ancestors.
What is the Keynesian theory?
Keynesians believe that, because prices are somewhat rigid, fluctuations in any component of spending—consumption, investment, or government expenditures—cause output to change. If government spending increases, for example, and all other spending components remain constant, then output will increase.
Who is the godfather of economics?
Key Takeaways. Adam Smith was an 18th-century Scottish philosopher. He is considered the father of modern economics. Smith is most famous for his 1776 book, The Wealth of Nations.
Who invented trickle-down economics?
In 1982 John Kenneth Galbraith wrote that “trickle-down economics” was known in the 1890s under the name “horse-and-sparrow theory”. William J. Bennett credits humorist and social commentator Will Rogers for coining the term and noted in 2007 its persistent use throughout the decades since.
What is the main idea of Reaganomics?
Reaganomics refers to the economic policies of Ronald Reagan, the 40th U.S. president, serving from 1981–1989. His economic policies called for widespread tax cuts, decreased social spending, increased military spending, and the deregulation of domestic markets.
What president supported trickle-down economics?
Trickle-down theory reared its contemporary head under the Ronald Reagan administration when the term Reaganomics was used to describe a series of policies designed to spur economic growth.