Why Trickle-Down Economics Don't Work

In lieu of any better writing material, I'm going to explain why the concept of Trickle-Down economics is flawed.

The theory behind Trickle-Down economics is this: if the rich have plenty of money their wealth will circulate in the form of their industry. In theory, this is a very propserous system for everyone. The simple reason this doesn't work is plain old greed.

Lets take a look at the elite who are supposedly circulating their wealth. They do literally everything to AVOID circulating wealth. They take their jobs to third world countries so they can exploit impoverished workers and pay them less than the minimum wage in the USA. They find every loophole they can to pay less taxes, they donate to charity for the sole reason of public image, and they make cheap but overpriced products that we only buy because of their advertising.

This of course does not describe every rich guy out there, philanthropists like Bill Gates exist, but they are a rarity.

Andrew Carnegie had the right idea back in the industrial revolution. He provided quality products at low prices, paid his workers well, and when he died, gave most of his wealth back to the government. When you reach the top, your question shouldn't be "How can I gain more money" but "how can I use this money to contribute to and better society". Money isn't meant to rot in a bank somewhere, it's meant to circulate. Money is the blood that keeps the economy alive. If the money doesn't flow, the economy starts to die.

The best way for the rich to contribute to society is to bring jobs to the USA, or if they're adamant about keeping jobs in third world countries, pay the workers the USA minimum wage. If they start paying taxes and actively donate to charities for legitimate reasons, not just for public image. Even if the rich people do this, they will stay rich, they own giant corperations that pump out more money a minute than some people make in a year. They have so much money in the bank, they could quit their jobs and live off their interest alone.

Trickle Down Economics don't work. The reason in pretty much inherent in the name. The rich choke down the stream to keep "their" money to themselves. All the reaches down is a trickle.