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Old 06-07-2017, 10:11 PM
smithsb's Avatar
smithsb is offline
Join Date: Sep 2002
Location: mid-Pacific
Posts: 3,006
The difference between states and the fed is that the fed can/does run deficits; huge ones. States are balanced budget entities.
Enough panic can drive Republicans to action.

It's not a Dem or Repub problem at the Federal level. The Dems were equally complicent with Reagan in the whole, "deficits are good - trickle down economics" farce during the 80s. As long as the Dems got their constituent earmarks, they were all in.

From David Stockman, OMB for Reagan in Wiki:
"Stockman was quoted as referring to Reagan's tax act in these terms: "I mean, Kemp-Roth [Reagan's 1981 tax cut] was always a Trojan horse to bring down the top rate.... It's kind of hard to sell 'trickle down.' So the supply-side formula was the only way to get a tax policy that was really 'trickle down.' Supply-side is 'trickle-down' theory."[7] Of the budget process during his first year on the job, Stockman was quoted as saying, "None of us really understands what's going on with all these numbers," which was used as the subtitle of the article.[7]"