Kevin Phillips in “Wealth and Democracy,” writes that according to Charles Kindleberger: “Much of the money individuals received from the 1981-86 reductions of the top income brackets from 70 percent to 28 percent, … seems to have been spent on consumption — second and third houses, travel, luxury apparel cars, jewelry, yachts and the like rather than being saved and invested.”
He continues that any savings were held as liquidity for investment opportunities in mergers, acquisitions and the like, but not invested in equipment for production and not in increased wages for workers. Only if the corporate beneficiaries of the proposed tax cuts invest those retained funds into production increases and/or wage increases will there be any “trickle down” to the bottom.
Whenever the government has taken a lassez-faire approach to the economy with the intention that the wealth will be spread, and all incomes will rise accordingly, the result has been an increase in the wealth, in the inequality of high to low wages and an increase in the national debt.
HAROLD J. HUNTER
A healthy solution
Should schools be doing more to help obese students? Yes, indeed.
Children spend most of their waking hours in schools so they should be taught the most essential life skill of all — preparing and cooking healthful foods. We need to bring back an updated curriculum for home economics that focuses on living life as a healthy adult within a reasonable budget.
The breakfast and lunch programs are all fine and wonderful, but give a kid a fish and he eats for a meal. Teach him how to prepare healthy foods and he eats well for a lifetime.