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Why do we hear more from conservatives about problems with regulation/taxes, and not with consumer demand?

  
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Why do we hear more from conservatives about problems with regulation/taxes, and not with consumer demand?

Postby link » Mon Jun 05, 1978 9:54 pm

Just kidding! I don't think conservatives do this, but I figured it would get your attention haha :P

But seriously speaking, why does it feel like both sides (liberal and conservative) overlook this 70% of our economy? The problem seems to always be described in terms of job creation, businesses and investors, and how the government affects them through regulation and taxation. Why is the other end of the equation, consumer demand, never a part of the discussion? Executive policy definitely affects it.

Fewer people buying cars, TV's, eating at restaurants... we can make it as easy as we want for companies to create jobs, but if nobody's buying, they still aren't going to expand. Now I make no judgement call about the effect of government intervention here, but why do we never hear politicians describe what they are going to do about the fact that consumer indices are still in the negative and far below pre-recession levels? Especially in the presidential race? Or am I just not listening at the right times?
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Why do we hear more from conservatives about problems with regulation/taxes, and not with consumer demand?

Postby colfre » Thu Dec 18, 1986 8:51 pm

The reason being that unemployment and economic growth are our major issues.

Consider, if you would a simple proposition? If the economy is operating at x GDP and then approximately 19 million jobs were taken out of the economy what would happen to marginal demand? Hint: People need jobs and paychecks to create the demand. Demand supposes the desire and ability to pay for goods and services. You can not create demand from a population that has 14% unemployed and under employed. If you could then unemployment would not be a driving issue in the economy. When the money supply contracts, GDP stalls, and unemployment rises a recession ensues. People that do not understand the relationship between full employment(3-5% unemployment) and the private and public sectors in the economy are likely to pursue foolish economic policies as is this administration.

The administration believes the driving force to the economy is the public sector. Another simple question? Where does the public sector get its money? Where does it spend its money? yep you got it, we are just moving money around and not creating anything. If you increase taxes in the private sector they have less discretionary income to invest in plant and equipment and personnel. No jobs are created.

Again demand assumes people with money in their pockets, confidence in their economy and the desire to spend. JOBS creates that and demand can not be created without people working. Unemployment and underemployed at 14% is embarrassing even for a skilled community organizer.
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Why do we hear more from conservatives about problems with regulation/taxes, and not with consumer demand?

Postby banys » Mon Jul 01, 2002 8:43 am

consumer spending has been down for the last three months, we are staring into the abyss of obamas recession
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Why do we hear more from conservatives about problems with regulation/taxes, and not with consumer demand?

Postby newyddilyn60 » Tue Jul 24, 2012 7:01 pm

Just kidding! I don't think conservatives do this, but I figured it would get your attention haha :P

But seriously speaking, why does it feel like both sides (liberal and conservative) overlook this 70% of our economy? The problem seems to always be described in terms of job creation, businesses and investors, and how the government affects them through regulation and taxation. Why is the other end of the equation, consumer demand, never a part of the discussion? Executive policy definitely affects it.

Fewer people buying cars, TV's, eating at restaurants... we can make it as easy as we want for companies to create jobs, but if nobody's buying, they still aren't going to expand. Now I make no judgement call about the effect of government intervention here, but why do we never hear politicians describe what they are going to do about the fact that consumer indices are still in the negative and far below pre-recession levels? Especially in the presidential race? Or am I just not listening at the right times?
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