01-26-2017, 10:49 PM
That's a strange idea you came up with there, Warren. Usually people think that some spending increases would stimulate the economy by putting people to work and money into the economy.
There were indeed huge outlays to pay for people suffering from the recession caused by Reaganomics in 2008. And the tax cuts were not rescinded either, except for a small increase 2 years later. That plus the stimulus (which also included tax cuts to please the "Reaganomicians" in both parties), and the decline in tax revenues from the weak economy, inflated the deficit in 2009-2010. Both parties contributed to reining it in later. But Republicans kept the recession going (deliberately, so they could have the issue) by firing lots of public workers in 2011. The stimulus was thus weaker than it should have been, had not Black Tuesday (Nov.2, 2010) occurred.
There were indeed huge outlays to pay for people suffering from the recession caused by Reaganomics in 2008. And the tax cuts were not rescinded either, except for a small increase 2 years later. That plus the stimulus (which also included tax cuts to please the "Reaganomicians" in both parties), and the decline in tax revenues from the weak economy, inflated the deficit in 2009-2010. Both parties contributed to reining it in later. But Republicans kept the recession going (deliberately, so they could have the issue) by firing lots of public workers in 2011. The stimulus was thus weaker than it should have been, had not Black Tuesday (Nov.2, 2010) occurred.