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*ChrisCantSkate* · 01-11-2003, 02:23 PM

good perspective on it, the theory on leak down economics(i think that was what it was called) is since the rich have extra money to spend they will, thus bringing the economy up, however they already have the abundace of money, sure they can buy another car, maybe another house, but they had the money already to buy the goods. its most obvious in sports starts... lets say they make 10 mill a year after taxes... they need probobly 1 mil MAX to cover their spendings on all their current possesion, so they have 9 mil laying around to play with, now you give them a tax cut, now they have 2 more mill... what does it really matter to them, it sounds good in theory that the rich(top 10% or whatever) have more money to spend, but they really were never pushed for cash, so the tax cut only increases their bank account, not the economy

01-11-2003, 02:23 PM	#5
ChrisCantSkate Thought Police Join Date: Aug 2001 Location: orlando florida Age: 41 Posts: 9,662	good perspective on it, the theory on leak down economics(i think that was what it was called) is since the rich have extra money to spend they will, thus bringing the economy up, however they already have the abundace of money, sure they can buy another car, maybe another house, but they had the money already to buy the goods. its most obvious in sports starts... lets say they make 10 mill a year after taxes... they need probobly 1 mil MAX to cover their spendings on all their current possesion, so they have 9 mil laying around to play with, now you give them a tax cut, now they have 2 more mill... what does it really matter to them, it sounds good in theory that the rich(top 10% or whatever) have more money to spend, but they really were never pushed for cash, so the tax cut only increases their bank account, not the economy __________________ Black Vtec Prelude-h22a power'd Many dreams come true, and some have silver linings. I live for my dreams and a pocket full of gold.