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Politics : PRESIDENT GEORGE W. BUSH

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To: gerard mangiardi who wrote (174978)8/27/2001 5:04:02 PM
From: Neocon  Read Replies (1) of 769670
 
Actually, it was a supply- side recovery, not Keynsian. The evidence? In a demand driven economy, the rate of inflation goes up, as more dollars chase a lagging production of goods and services. In the '80s recovery, the rate of inflation went down, as one would expect when increased production of cheaper and improved goods and services was stimulating a lagging demand. Second, Bill Clinton barely raised taxes. The marginal rates still did not exceed 40%, and therefore any suppression of growth was modest.
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