A Covid case for trickle down

| 12 Oct 2020 | 06:08

    If the COVID crisis shows us anything, it reveals the true nature of trickle down economics, and how any argument against it is now moot. Let us go through the last half year, taking New York City as an example. The shut down and lack of commuters led to closures of cafes, delis, mini-marts, and restaurants, and all the other support businesses, such as trash collection, deliveries, policing, transit, etc. The sudden loss of commuter influx and shopping routines resulted in immediate unemployment for a large swath of local New Yorkers. However, while most suburbanites continue to Zoom and collect a paycheck, in the City there is now very limited tax revenue, because many are unemployed. The poor are especially hurt, for tax revenue collected from peoples’ and business income goes to hospitals and much needed programs to help the needy and disenfranchised.

    Conversely, what happens when businesses flourish? If New York City were to open up, commuters and others go shopping again, demand for food and cafes and mini marts and restaurants and store front sundries increases, restaurants and stores employ more people, demand for trash and laundry and other services surge, paychecks get issued, companies employ more people to keep up with supply and demand and unemployment decreases. Then, out of these paychecks and income, people pay taxes, the tax revenue goes to programs such as hospitals, food stamps, and other government efforts for the needy and disenfranchised. You see, in the latter case, everyone wins, even those who need temporary help. Job and wealth creation arise from free market commerce between individuals, as does tax revenue.

    But when the basic right to work and entrepreneurial spirit is hindered by a bloated big government, such as too much regulation and excessive taxes on businesses, we witness a downward spiral of general quality of life, as evidenced in countless Democrat controlled cities and states. Now, combined with unreasonable and unconstitutional restrictions, certain cityscapes in the US are largely ghost towns with the prospects of full recovery grim at best. The wealthy and entrepreneurs will only go where they and their employees can thrive, such as southern Red states. And so they leave, along with the business and job creation with them, which only hurts the middle class and poor. Therefore, when you send in your ballot or go to the polls this November 3rd, consider which side you really want to be part of. Like him or not, the best chance of upward mobility for all resides in Trump’s reelection.

    As evidence of this, prior to COVID, it was Trump who spurred inner city reinvestment with his Opportunity Zones. If he is a racist, why would he team with and empower African Americans to make their communities better? In contrast, a vote for Biden is a “shut down” vote, which he promised, and will come to fruition either through more COVID scary shenanigans or a fallback to liberal destructive policies. The fruits of such policies are evident in countless blue cities across the nation, where instead of work and industry, there is miserable poverty, lack of investment, and rioting, with no formidable, coherent, or intelligent recovery plan from the Democrat establishment. Vote for Trump, and ride the red wave for a change.

    Paul Anderson