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May 17, 2009

Supply Side Economics: Do Tax Rate Cuts Increase Growth and Revenues and Reduce Budget Deficits ? Or Is It Voodoo Economics All Over Again?

Article by Nouriel Roubini, Stern School of Business, New York University, 1997.

Act I: Supply Side Economics in the 1980s

It is well known that are among the variables that influence the decisions made by consumers/workers and firms. In the late seventies, the label "Supply Side Economics" was applied to the argument that lower tax rates would improve private sector incentives, leading to higher employment, productivity, and output in the US economy. George Bush, in the days when he was an opponent of Ronald Reagan in the 1980 primaries, referred to an extreme version of this theory espoused by Reagan as "voodoo economics." In this version a cut in tax rates was predicted to result in an increase in tax revenue, and thus not increase the government deficit (the famous Laffer Curve effect). We're going to run through the arguments for such incentive effects, and try to evaluate the policy.

Taxes enter many decisions, but the two most important are probably that they discourage work, since they lower the aftertax return from work, and they discourage saving and investment, since they lower aftertax returns. (A third, which we will not explore here, is that taxes distort investment decisions by taxing different types of capital unequally. Housing, for example, gets a free ride.) We know that the countries that invest the most (measured as the ratio I/Y) also grow the fastest, on average, so maybe this is important (or maybe the causality goes the other way, with the US investing less because it has fewer good opportunities). Whatever the case, let's examine the effect of taxes on wage and capital income.

A lower tax rate on wage income should increase the labor supply. Given the labor demand function, this increase in labor supply will increase employment, reduce the pre-tax real wage and increase the post-tax real wage.

Now turn to saving. We would expect lower taxes on interest and capital gains, as well as tax-sheltered saving plans like IRAs and 401(k) plans, to make saving more attractive and lead to an increase in savings. In equilibrium, this will lower real rates of interest as more saving flows into capital markets, and raise investment. Over time this investment leads to higher capital, more productive labor, and higher output and wages. (This is the long-run dynamics effects of this policy change).

That was the argument. While most economists would agree with the theoretical idea that lower taxes increase labor supply and savings, the crucial empirical question is whether the effects of cuts in tax rates on labor supply and savings are mall or larger. Most empirical evidence from a very large set of studies suggests that that the effect on labor supply is probably small, except on relatively poor workers whose marginal tax rate can be quite high (when they work, they may lose welfare and medical benefits, so the "opportunity cost" of working can be high). This may be an important aspect of social policy, but it probably does not have a large effect in the aggregate. In the graph, this would show up as a fairly steep labor supply curve, so that a shift up has little effect on employment.

The effect on saving, though, is thought by some to be substantial but there is wide disagreement on this issue as well. There is some question how responsive saving is to tax incentives, but a number of economists, including Martin Feldstein of Harvard, think the effect is important. Some argue that the saving rate in the US is smaller than in most other major economies, perhaps because US tax law is less friendly to saving than other countries'. One of the important policy questions is whether we should amend the tax system to make saving more attractive.

So why "voodoo" economics? There is some question about the magnitude of these effects, and the theory was way oversold at the time. Many "supply siders" argued that the incentive effects were so large that a reduction in tax rates would actually raise tax revenue, since the tax base would grow so much. There's no sign that this happened, and indeed most economists were pretty skeptical of this prediction at the time. Quite to the contrary, the budget deficits exploded in the 1980s after tax rates were cut by Reagan in 1981. The response of private savings and labor supply to the Reagan tax cuts was minimal: the labor supply did not increase and the effect on private savings was swamped by the reduction in public savings (the increase in the budget deficit). Since labor supply and savings increased only marginally, government revenues did not increase (relative to GDP) and the budget deficit became very large. The Laffer curve hypothesis was was flatly contradicted. Moreover, the 1980s tax cuts did not increase the rate of growth of GDP and productivity, nor the investment and savings rates. Note the following facts:

1. It is true that the economy grew quite fast from 1983 to 1989 but such a pickup in growth was a standard recovery of growth and fall of unemployment from the depths of the severe recession of 1981-1982 (the unemployment rate went above 10% in 1982).

2. The private saving rate continued to decline slowly in the 1980s. In the 1973-1980, private saving averaged 7.8 percent of the economy, and dropped to 6.9% in 1986 and 4.8% in 1989. In other words, the saving rate was significantly lower after the 1981 tax cut than before it.

3. The labor force grew at an average rate of 1.6% over the 1982-89 period, about the same as during the previous four years.

4. Overall labor productivity grew rapidly before 1973 and much less rapidly since then. In the entire period after 1973, the annual growth rate of productivity has been very close to 1.1 percent. It average around 1.1 percent also in the 1980s.

5. Budget deficits that were equal to 40b US$ in 1979 (-1.7% of GDP) and 74b US $ in 1980 (-2.7% of GDP) increased to 221b US $ by 1986 (5.2% of GDP).

6. The public debt to GDP ratio increased from 26.1% in 1979 to 41.2% in 1986.

For a more detailed discussion read an economic analysis of the Reagan years of Supply Side tax cuts and an economic analysis of why tax cuts do not increase economic growth.

Read next Krugman's two articles in Slate on Supply Side Economics and its Its Decline. A more detailed analysis by Krugman of supply-side economics is presented in his book "Peddling Prosperity", Norton, 1995.

For a systematic overview of supply side views look at the CATS (Citizens for an Alternative Tax System) site and Polyconomics, Inc. , the Web site of Jude Wanniski, one of the early gurus of supply-side economics.

Act II: The Return of Voodoo Economics in the 1990s

Scene I: The 1993 Clinton Deficit Reduction Package

By the time Clinton came to power in 1993, the effects of the supply side policies of the 1980s on the fiscal conditions of the U.S. were clear: the budget deficit in 1992 was 290b US $ or 4.9% of GDP and the public debt to GDP ratio equal to 50.6%. The deficit reduction plan that Clinton proposed was based on a limited increase in income tax rates (only for the very rich), an increase in various indirect taxes and a slowdown in the real growth of government spending.

At the time of the passage of the deficit reduction plan, supply-siders critics of the package argued that the increase in tax rates would:

1. Push the economy into a recession and reduce long-term growth.

2. Increase the budget deficits as individuals would reduce their labor supply and savings would be reduced.

3. Increase real interest rates because of the increase in deficits.

The effects of the deficit reduction plan turned out to be very different from the dismal prediction of supply siders:

1. The budget deficit fell from 290b US $ in 1992 (4.9% of GDP) to 104b US $ in 1996 (1.2% of GDP). The debt to GDP has started to fall after having continuosly increased since 1978.

2. The economy boomed in 1993 and 1994 after the 1990-91 recession and the economy grew at solid an average rate of 2.8% in the 1992-96 period.

3. Real interest rates have remained stable (they are at 2% in 1996 at the short-end of the maturity structure) and significantly lower than the high rates of the 1980s (5% in real terms).

While the effects of the 1993 deficit reduction package clearly contraded the gloomy forecasts of the critics, there has been a revisionist attempt to argue that the increase in the income tax rate for the wealthy in 1993 reduced so much their labor supply and income that it led to a reduction in the revenues collected form the top income individuals. On this debate, we follow the account of Peter Passell in the article "Do Tax Cuts Raise Revenue ? The Supply Side War Continues" (NYT 11/16/95).

In a study published in 1995, Dan Feenberg and Prof. Martin Feldstein of Harvard University calculated that raising the taxes of the rich in 1993 collected only one third of the revenues expected if these taxpayers had not changed their economic behavior. Since the levy on individuals with taxable incomes below $150,000 ($135,000 if we include the elimination of the ceiling on the Medicare payroll tax), they argued that this group was a good control for an experiment about the effects of higher tax rates on revenues.

They argued that if the adjusted gross income of the rich (defined as individuals with adjusted gross income above $200,000) had increased at the same rate as that of the upper middle class (incomes in the 50,000 to 200,000 range), it would have grown by 2.9%. Instead, the taxable income of the group with incomes above $200,000 fell by $ 31billion. So, instead of collecting an extra $ 16 billion in taxes from this group, the government ended up collecting only an extra $ 5 billion (a third of the amount it should have if the incomes of this group had grown at the same rate as the control group). This appeared to be the Laffer Curve at work, a basic tenent of supply side economics.

Unfortunately for the hypothesis, the fall in the incomes of the very rich after 1993 was not due to a reduction in their labor supply but rather a simple tax- shifting of incomes from 1993 to 1992 in expectation of the increase in tax rates. In fact:

1. If 1991 (rather than 1992) is compared with 1993, there is no reduction in expected income and no shortfall in revenues.

2. As Clinton was elected in November 1992, high income earners anticipated higher tax rates in 1993 and tried to realize the income in 1992. A New York state survey shows that two-thirds of Wall Street year-end bonuses were paid in December 1992, well above the one-third usually paid before theend of the year.

3. Treasury Department studies suggests that all in told $ 20 billlion of income was shifted back from 1993 to 1992. Therefore most of the income that Feldstein and Feenberg argued that was destroyed by a reduction in labor supply, was instead realized a year earlier.

Scene II: The Forbes Flat-Tax Proposal

In 1996, Steve Forbes run for the nomination to be the Presidential candidate of the Republican Party on the basis of a single policy proposal: changing the current progressive income tax system to a "flat tax" rate on income. While an analysis of the merits of a flat income tax (that is a disguised consumption tax in the Forbes formulation) is complex (see the home page on the flat-tax/consumption tax controversy), the flat-tax proposal was another variant of supply side economics. In the opinion of Forbes, such a flat tax would siginificantly increase the growth rate of the US economy and the rate of productivity growth by stimulating labor suply, savings and investment. In the view of Forbes, the growth of the economy would increase from the average 2.5% of the 1990s to 4% or even 5% per year.

Economists have been always wary of claims that some policy could change the growth rate of GDP as opposed to its level. There is of course a big difference between a policy change that affects the level of GDP from one that affects the growth rate of GDP. For example, most studies of the potential output effects of a complete liberalization of world trade suggest that the level of GDP would increase in the long- run by about 1% relative to its alternative path. So, real GDP 20 years from now would be only 1% higher than it would be 20 years from now if there is no change in trade policies. If, instead, such a policy change had the effect of increasing the growth rate of the economy (rather than its level) by 1% per year, real GDP would be 30% higher 20 years from now relative to its alternative path. Quite simply, if anything can increase the growth rate of GDP , rather than just its level, the welfare benefits of such a policy would be huge.

Now, if we consider, the Forbes tax plan, there is no evidence of any sort that the growth rate of the economy would double from 2.5% to 5% if we adopted a flat tax. The claim is simply preposterous. Most economists would argue that the effects, if any, are likely to be only on the level of GDP: it is hard to proof that any policy could affect the long-run growth rate of an economy and the 1980s experiments with tax rate cuts confirm that there was no permanent growth effects.

Even those serious economists and scholars that do believe that there might be a positive growth effect of such a policy reform, argue that the growth effects of a flat-tax would be much smaller than those claimed by Forbes. Consider for example the view of a leading conservative economist, Rober Barro from Harvard University:

"A movement to a flat rate tax - with no change in government spending - would stimulate economic growth, but is hard to quantify the effect. Empirical evidence across countries indicates that a cut in non productive government spending and taxes by 1% of GDP raises growth by about 0.1% per year. If taxes are made less distorting but are not eliminated , the effect would be smaller, perhaps half as great. Thus, if the 8% of GDP raised by federal income taxes were instead raised by a flat tax, then growth would be increased by roughly 0.4% a year. This effect is much smaller than that claimed by Forbes, but the benefits would still be enourmous" (Wall Street Journal 2/22/1996).

So, in the best scenario, the long-run growth rate of the economy would increase from 2.5% to 2.9% per year (not to 5%). Even that estimate is clearly overstated and the likely growth effect might be close to zero.

In fact, the scenario described by Barro assumes that the flat-tax would be revenue neutral (i.e. it would still collect the 8% of GDP reveneues raised by the current income tax). However, the Forbes flat-tax plan was not revenue neutral. Most independent studies of this proposals reached the conclusion, that similarly to the tax rate cuts of the 1980s, a flat tax would lead to a fall in revenues and an very siginificantly increase in the budget deficit (the revenue shortfall would be over $ 120 billion per year or about 1.7% of GDP). As discussed above, the tax rate cuts of the early 1980s led to a surge of the budget deficit (from $ 40b in 1979 to $ 220 b in 1986) and a significant increase in real interest rates. The crowding-out effect of this budget deficit national savings and investment led to a fall in the private savings rate and a fall in the amount of national savings (relative to GDP). Since one of the main channell through which a flat tax should increase output and growth is the positive effect on national savings and investment, the evidence (from the 1980s tax cuts and the 1993 deficit reduction) suggests that a dlat tax would depress savings and investment through its effect on the budget deficit. Therefore, any potential growth rate effect (even the tiny ones predicted by Barro) would disappear.

In the view of a maintream economist, William Gale, a senior fellow at the Brookings Institution: "It is completely implausible that improving incentives to work, save and invest in a system that has already moved a long way in theright direction would make a significant difference to growth".

Scene III: The Dole Income Tax Cut Plan

The 1996 return of supply side economics started with the Forbes flat tax campaign and picked up momentum with the recommendations of the Kemp Commission, chosen by the Republican party to develop some proposals for tax reform. However, it reached its policy peak with the presidential campaign of Bob Dole. The economic policy centerpiece of the (failed) Bob Dole's presidential campaign was a proposal of a 15% across-the-board reduction in income tax rates. While Dole had made a career out of being a deficit hawk, his 1996 tax plan (and his choice of supply-sider Jack Kemp as VP candidate) represented a strategic adoption of supply side views. The economics of Dole's tax plan was simple: it would have led to a reduction in government revenues of over $ 500 billion over 7 years. Again, the rethorics of the plan was typical voodoo economics: tax rate cuts would stimulate labor supply, savings and investment so much that the budget deficits would be reduced rather than increased.

A more objective study of this tax plan suggested, instead, that even under the very optimistic scenarios about increased growth and reduced interest rates claimed by the plan, the overall effect of the plan would have been a shortfall of revenues, equal to 75% of the impact tax revenue reduction of the plan. In other terms, even a very sympatetic study of the Dole tax plan found that increase in labor supply, savings and investment following thetax cuts, would generate only 25 cents in increased revenues out of each $ in tax cuts, leaving the total net shortfall in revenues to 75 cents out of each dollar.

The reason why supply side effects do not work is very simple: the estimated responses of labor supply and savings to tax rate cuts are too small to generate the extra revenues that would maintain a tax rate cut revenue neutral.

Consider the evidence on each of these two effects.

1. The labor supply effect:

1.1. The maximum income tax bracket was reduced from 91% to 70% during the Kennedy presidency in the 1960s and then down to 50% by Reagan in 1981.3. However, the labor force grew at an average rate of 1.6% over the 1982-89 period, about the same as during the previous four years. So the first Reagan tax cuts of 1981 had no effect on labor supply.

1.2. The maximum tax bracket was reduced from 50% to 28% in 1986 but again this tax cut had no positive effect on labor supply. A study by Randall Mariger, an economist at the Federal Reserve Board, found that tax rates cuts increased the labor supply by less the 1% between 1985 and 1986.

1.3. The 1993 Clinton increase in the top marginal tax bracket to 39.6% had no effect on the labor supply of the rich, (see the discussion above).

2. The Effect on Savings:

2.1. The evidence is that the response of savings to the after-tax real return to savings is quite small. In the 1973-1980, private saving averaged 7.8 percent of GDP, and dropped to 6.9% in 1986 and 4.8% in 1989. In other words, the saving rate was significantly lower after the 1981 and1986 tax cuts than before it.

2.2. Computer simulations suggests that, even in the case of an extreme policy change, the elimination of all income taxes to be replaced by a tax on consumption only, private savings would increase only by 20%. In other terms, since private savings are about 5% of GDP, in the best scenario they would become 6% of GDP.

2.3 About 80% of savings are already sheltered from current taxation in pension plans that are tax-deferred. So, any policy change that increase the return to taxation would have minimal effects on savings.

So, in conclusion the verdict from history and empirical evidence is quite clear. Supply side economics is "voodoo economics". Reductions in tax rates (starting from initial moderate tax rate levels) do not siginificantly increase labor supply and savings, do not increase economic growth, do not raise total tax revenue and do not reduce budget deficits. Their likely effect on the level and growth rate on output is close to zero while they lead to significantly larger budget deficits.
Posted by Abe at 1:23 PM
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  • Prelude to a new article series on education
    The modern form of scientific thought and analysis emerged from the philosophy of the Ancient Greeks and their writings. Which were passed ...
  • How Mainstream Media Helps The Republicans Lie To The People - Part 9 (Promoting A Fundamentalist Domestic Terror Group)
    Background/Context: 1.  How Mainstream Media Helps The Republicans Lie To The People - Part 8 (Helping Cover Up GOP Discrimination Against J...
  • Trump's Top 100 Scandals That The Trump Presidential Library Is Going To Have To Explain Away
    Trump’s 100 Most Tremendous Scandals | The Daily Social Distancing Show Whittled down from a list of 35,000, here are Donald Trump’s 100 Mos...
  • How Mainstream Media Helps The Republicans Lie To The People - Part 1
    Related:  Media Matters Proves Corporate Media's Journalists Aren't Real Journalists Media Matters:  Senate Republicans waited until...
  • How Mainstream Media Helps The Republicans Lie To The People - Part 8 (Helping Cover Up GOP Discrimination Against Jews)
    Background: 1.  How Mainstream Media Helps The Republicans Lie To The People - Part 7 2.  Media Fear Offending Right Wing America While The ...
  • How Mainstream Media Helps The Republicans Lie To The People - Part 3
     Related: How Mainstream Media Helps The Republicans Lie To The People - Part 2 Media Matters:  Sunday show coverage of COVID-19 relief neg...
  • Trump Brags About His Test For Dementia As If It Were An Actual Intelligence Test Proving He's Too Mentally Handicapped To Handle ANY Real Job That Isn't Being A Janitor!
    Related: Trump Is Crazy. There's No Denying It. Just Accept It. We Have A Completely Mad President And A Party That Wants A Mad Man In O...
  • Trump Is Crazy. There's No Denying It. Just Accept It. We Have A Completely Mad President And A Party That Wants A Mad Man In Office For Personal Gain!
    Background/Context: 1 -  The GOP's Strategy Has ALWAYS Been To Pick An Idiot For President 2 -  GOP Acquits Trump With No Witnesses, B...
  • Tucker Carlson Is Going Out Of His Way To Help Trump Get People Sick With Coronavirus
    Background:  Misinformation From Fox News Gives The President Coronavirus And Encourages A Super Spreader Event Media Matters:  Trump’s prim...
  • How Mainstream Media Helps The Republicans Lie To The People - Part 4
     Related: How Mainstream Media Helps The Republicans Lie To The People - Part 3 Media Matters: Republicans refused to engage on COVID-19 rel...

Popular Posts (Last 30 Days)

  • Tucker Carlson Is Going Out Of His Way To Help Trump Get People Sick With Coronavirus
    Background:  Misinformation From Fox News Gives The President Coronavirus And Encourages A Super Spreader Event Media Matters:  Trump’s prim...
  • Politics Update: The GOP & Fox News Take Domestic Terrorism To New Levels
     Background/Context: 1.  The Right Wing Are Basically Terrorists Or "Terrorist Creators" (Alt Right Terrorists Is The Politically ...
  • Highlights Of The Second Impeachment Trial's Case Against Trump With Late Night Hosts
    GOP Senators Want to "Move On" from Trump's Second Impeachment Trial: A Closer Look Seth takes a closer look at former Presid...
  • Trump's Legacy: A Look At The January 6th Insurrection And Attempted Coup By Trump/GOP/FoxNews
    Looking at the January 6th insurrection and attempted coup from its beginning, as Media Matters analyzed and warned about it, provides a uni...
  • Trump's Top 100 Scandals That The Trump Presidential Library Is Going To Have To Explain Away
    Trump’s 100 Most Tremendous Scandals | The Daily Social Distancing Show Whittled down from a list of 35,000, here are Donald Trump’s 100 Mos...
  • How Mainstream Media Helps The Republicans Lie To The People - Part 9 (Promoting A Fundamentalist Domestic Terror Group)
    Background/Context: 1.  How Mainstream Media Helps The Republicans Lie To The People - Part 8 (Helping Cover Up GOP Discrimination Against J...
  • Mainstream Media's War On the People Part 2 - Applying Double Standards To Leadership That Helps Republicans Obstruct The Democrats Majority But Don't Allow The Democrats To Do The Same To The GOP Minority
    Background/Context:  Mainstream Media's War On The People Part 1: Treating Majority Views Of Democrats As Extreme & Extremist Views ...
  • Congratulations To Fox News For Winning The Misinformer Of The Year Award!
    Media Matters:  Misinformer of the Year: Fox News In 2019, the U.S. federal government  ran a simulation  of a global influenza pandemic. A ...
  • For Fox News, Mass Murder In The U.S. Was Just The Cost Of Doing Business
    FLASHBACK: Warning From The Non-Profit Media Research Group, Media Matters:  With coronavirus, the Fox News-Trump feedback loop will get peo...
  • Mainstream Media's War On The People: Media Silence On Fox News & The GOP's Continued Incendiary Rhetoric, Given The Insurrection, Indicates Complicity
    Background/Context: 1.  Media Uselessness Example: Ignoring Historical Context To Explain The Trump VS Lincoln Poll Of Republicans 2.  The R...

Introduction To Culture

  • What is the difference between culture and society?
  • History: The earliest evidence of ritual and myth part 1
  • The earliest evidence of ritual and myth part 2
  • Daniel Quinn’s theories on culture and civilization part 1
  • Daniel Quinn’s theories on culture and civilization part 2
  • Daniel Quinn’s theories on culture and civilization part 3
  • Daniel Quinn’s theories on culture and civilization part 4
  • Could American psychology have a major Native American influence?
  • Jared Diamond’s ‘Guns, Germs and Steel’ Part 1 – Out of Eden
  • Jared Diamond’s ‘Guns, Germs and Steel’ Part 2 – Conquest and the Tropics
  • Joseph Campbell puts culture and society in perspective
  • Reflection of Cultural Perspectives Through Gardening
  • Psychology: An introduction to the use of psychology in understanding culture and society
  • Having More Than One Head... Do Myths, Such As Medusa, Contain Slivers of Truth?
  • How Can Psychiatrists Be Allowed To Prescribe A Physical Substance For A Mental Disease That Has No Biological Source?
  • Has The USA Become Like A Sort Of Disneyland?
  • American Lion: Andrew Jackson in The Whitehouse
  • Founding Brothers: The Revolutionary Generation (Book Review)
  • The Constitution Is A Liberal Document & The Founding Fathers Were Liberals
  • Our Title Comes Second. What We Are (CITIZENS) Comes First. - Obama

Learning & Education

  • Prelude to a new article series on education
  • Learning and Education With The 'Socratic Method'
  • The Power Of Your Brain: Brain Plasticity & IQ Enhancement
  • How Emotions Cloud Judgement: An Introduction To True Empathy
  • Introduction To NLP, It's Therapeutic Models & The 5 Minute Phobia Cure (With A Talk By Richard Bandler)
  • Basics of Body Language and Lie Detection
  • Book Review: What Is Intelligence? - The Flyn Effect
  • Problems With The "No Child Left Behind" Act In 3 Interviews
  • Education Part 1 - The Problem Of Psychiatric Drugs
  • How Can Psychiatrists Be Allowed To Prescribe A Physical Substance For A Mental Disease That Has No Biological Source?
  • The Fragmentation of Knowledge Part 1 [Or, The case against over-specialization in theory based academics]

Animals

  • Animals And Humans Share DNA, A Nervous System, Intelligence, Creativity And Emotions (Such As Empathy)
  • The Modern Dodo: Meet The Flightless Parrot Called The Kakapo
  • Incredible Animals: A Look At Elephant Intelligence (They Can Paint, Count, Communicate etc.)
  • Incredible Animals: A Look At Parrot Intelligence
  • Incredible Animals: A Look At Raccoon Intelligence
  • Incredible Animals: A Look At Whale Intelligence
  • Incredible Animals: A Look At Dolphin Intelligence

Media's War On The People

  • Mainstream Media's War On the People Part 2 - Applying Double Standards To Leadership That Helps Republicans Obstruct The Democrats Majority But Don't Allow The Democrats To Do The Same To The GOP Minority
  • Mainstream Media's War On The People Part 1: Treating Majority Views Of Democrats As Extreme & Extremist Views Of Republicans As Normal
  • Mainstream Media's War On The People: Media Silence On Fox News & The GOP's Continued Incendiary Rhetoric, Given The Insurrection, Indicates Complicity
  • How Mainstream Media Helps The Republicans Lie To The People - Part 10 (Making A Few Bad Apples Seem Like The Whole Apple Grove)
  • How Mainstream Media Helps The Republicans Lie To The People - Part 9 (Promoting A Fundamentalist Domestic Terror Group)
  • How Mainstream Media Helps The Republicans Lie To The People - Part 8 (Helping Cover Up GOP Discrimination Against Jews)
  • How Mainstream Media Helps The Republicans Lie To The People - Part 7
  • How Mainstream Media Helps The Republicans Lie To The People - Part 6
  • How Mainstream Media Helps The Republicans Lie To The People - Part 5
  • How Mainstream Media Helps The Republicans Lie To The People - Part 4
  • How Mainstream Media Helps The Republicans Lie To The People - Part 3
  • How Mainstream Media Helps The Republicans Lie To The People - Part 2
  • How Mainstream Media Helps The Republicans Lie To The People - Part 1
  • Media Matters Proves Corporate Media's Journalists Aren't Real Journalists
  • Mainstream Media Is Markedly Pro-Right Wing Lies
  • Mainstream Media Is Markedly Pro-Right Wing Lies - Part 2
  • Media Matters: NY Times Shouldn't Treat Matters Of Facts As Opinions, And Opinions Shouldn’t Be Treated As Matters Of Fact
  • We Know That Most People Only Read Headlines So Is Mainstream Media Being Incredibly Stupid Or Are They Intentionally Pushing Untruths?
  • Washington Post & NY Times Buried The Lead - And The Facts - With A Pro-Republican Lies Push On A Coronavirus Bill
  • CNN's "Civility" Argument Shows CNN Anchors/Hosts Can't Put Facts In Context Of What's Going On!
  • The Ultimate Proofs That Fox News Is Basically Just A Group Of White Supremacists/Nationalists/Nazis

Politics

  • Fox Used To Pretend It Was Part News And Part Opinion. That Pretense Is Over. Now Its Lies All the Time.
  • After Helping To Cancel 500,000 Lives With Coronavirus Misinformation, Fox News Conservatives Go On TV To Complain About Cancel Culture
  • For Fox News, Mass Murder In The U.S. Was Just The Cost Of Doing Business
  • Congratulations To Fox News For Winning The Misinformer Of The Year Award!
  • Fox News Merged With The Trump Administration And Showed Up What They Are Made Of Over The Last 4 Years
  • With Democrats in Control of the White House, House and the Senate They Must Get Rid Of The Filibuster Or Choose Undemocratic Minority Rule
  • Daily Show & Colbert Report Prove That Fox News Is Fake News
  • Daily Show: Jordan Klepper vs. Trump Supporters
  • Trump's Legacy: A Look At The January 6th Insurrection And Attempted Coup By Trump/GOP/FoxNews
  • Hypocrisy On Display: Ted Cruz Demonstrates What He Stands For (Texas Winter Power Outage 2021)
  • Texas Winter Power Outage 2021: GOP And Fox News Lie And Demonize To Hide Their Economic Incompetence
  • Mitch McConnell Pretends to Be Honorable After Avoiding To Convict Trump For Treason Again, Again!
  • Highlights Of Trump's Acquittal With Late Night Hosts (2nd Senate Trial)
  • Highlights Of The Second Impeachment Trial's Case Against Trump With Late Night Hosts
  • The Rights War On The Left - A Walk Through Some Of The Intimidation/Bullying/Terror Tactics Fox News Uses
  • The Rights War On The Left (Blaming The Left For Everything Is A Standard Tactic Of GOP & Fox News)
  • The Real Divide In America Is Establishment VS Non/Anti-Establishment ("We The People") - With Robert Reich
  • Politics Update: The GOP & Fox News Take Domestic Terrorism To New Levels
  • GOP, Fox News & Right Wing Media Are Waging War On Rule Of Law
  • Class Warfare: How The GOP, Fox News & Billionaires Make Nonsense Sound Like Common Sense
  • Lou Dobbs: One Of The Creepiest Authoritarian Style Newsperson From Fox News Was Just Fired Because Of A Multi Billion Lawsuit Against Fox For Its Lies
  • After Helping Trump Lie & Deceive The People For Four Years, On Trump's Last Day, Mitch McConnell Pretends to Be Honorable After Avoiding To Impeach Trump For Treason, Again!
  • Trump's Top 100 Scandals That The Trump Presidential Library Is Going To Have To Explain Away
  • Tucker Carlson Is Going Out Of His Way To Help Trump Get People Sick With Coronavirus
  • Joe Biden's Vote For The Iraq War Proves He Lacks Leadership Qualities That Are Needed To Run A Country (Such As The Ability To Tell Right From Wrong, i.e. Biden Is Incompetent, At The Very Least)

GOP's Height Of Hypocrisy Series

  • Seth Meyers: Trump And His Allies Are Lying In The Exact Same Ways The Bush Administration Lied Us Into A Catastrophic War In Iraq Nearly 17 years Ago
  • The Anti-Diplomacy And Anti-Deal Making Party: The GOP Used Bullying And Assassination To Start A War With Iran
  • The United States Of Russia: Why Is Trump Always Sucking Putin's Dick? And Why Are The GOP Joining Him? If You Can't Beat 'Em Join 'Em?
  • As Anti-American As A Party Can Get: Trump Sees Himself As A King And The GOP Are More Than Willing To Comply And Treat Him Like A King (Fighting A King Is What Created The USA In The First Place!)
  • Mitch McConnell: The Most Anti-American And Un-Constitutional Politician Of All Time?
  • Lindsey Graham's Hypocrisy On Impeachment Is Epic
  • Snapshot Of The Present: Colbert Calls The GOP "A Spineless Group of Self-Interested Toadies Who Would Rather See The Country Destroyed Then Stand Up To An Out Of Control, Narcissistic Toddler."
  • A Snapshot Of The Modern Political & Media Structure Under A GOP President (With Seth Meyers)
  • GOP Hypocrisy...The Republicans Basic Argument Is: We Are Going To Hurt & Betray The Country But You Should Be Nice To Us... While We Lie & Incite Terror!
  • Republicans Demonstrate What "The Height Of Hypocrisy" Looks Like & Fox "News" Ignores It!
  • Republicans Demonstrate What "The Height Of Hypocrisy" Looks Like & Fox "News" Ignores It! PART DEUX: The Golf Edition
  • Height Of Hypocrisy 3: Using Taxpayer Money For Personal Use Like Communists & Dictators
  • Height Of Hypocrisy 4: Republican Hypocrisy On The Deficit Is Epic!
  • Height Of Hypocrisy 5: Roy Moore Hypocrisy & Deficit Hypocrisy Show GOP Stand For Nothing. Not Family Values. Not Fiscal Responsibility. Nothing. Except Maybe Pedophiles.
  • Height Of Hypocrisy 6: GOP & Fox News Helps Trump In Obstruction Of Justice Showing They Don't Care About The Rule Of Law... And Now, The Nation Is in A Constitutional Crisis!
  • Height Of Hypocrisy 7: The Executive Order & Dictator/Tyrant Hypocrisy
  • GOP's Height Of Hypocrisy Series Part 8: Being Civil To The Uncivil Would Be An Atrocity! Fearing the Backlash the Trump Administration Calls For Civility After Showing None Since The Campaigning Days!
  • GOP's Height Of Hypocrisy Series Part 9: The Supreme Court Hypocrisy & Why Approving Any Trump Nominee To The Supreme Court Is A Bad Idea!
  • GOP's Height Of Hypocrisy Series Part 10: Rule of Law Hypocrisy - More Evidence Of The GOP Obstructing Justice & Other Constitutional Abuses
  • GOP Latest Hypocrisy On Healthcare... Inspired By My Explanation Of Why Trump Won In 2016?

9/11

  • BREAKING: "WTC 7 Did Not Collapse from Fire" Dr. Leroy Hulsey... Engineering Experts, 9/11 Families And A Former NIST Employee Call On Congress To Launch A New Investigation Into 9/11!
  • 9/11 News: Video Shows How World Trade Center Building # 7 Fell And How Badly The NIST Got The Modeling Of The Collapse Wrong
  • The Deep State Red Herring: Created By Alex Jones & Picked Up By The Others To Blame All Of Trump's Crimes On A Fictional Enemy
  • The Evidence Of Molten Metal, Explosions And Building Architecture That Proves Explosives Were Used On 9/11
  • Visual Analysis: The Plane That Hit The Pentagon On 9/11 Was Too Small To Be A Passenger Jet But Not Too Small To Be a Drone
  • The Explosive Testimony Of The 9/11 Firefighters & Other 9/11 Truth Heroes
  • 9/11 Analysis: The Strange FBI 9/11 Attack Photos That Would Have Provoked An Inquiry On ANY TV Detective Show But Not In Real Life
  • 9/11 - The Day The Earth Turned To Water: The Flight 93 & Pentagon Debris Pattern Resembles A Plane Crash At Sea Not On Land!
  • Lawsuit Filed Against The FBI For Its Failure To Incorporate Key Evidence In Its Report To Congress On The 9/11 Attacks
  • 9/11 Cognitive Dissonance: Who Cares How Hot Jet Fuel Burns? The Whole Building Wasn't Even On Fire, How Could The Steel AND Concrete Dissolve So Fast That It Collapses In Seconds Without Even Being On Fire?!
  • 9/11 News: University of Alaska Fairbanks Study Finds Fire Did Not Cause Building 7’s Collapse on 9/11
  • 9/11 News: Majority Who See Building 7's Collapse Suspect Explosives
  • 9/11 News: Architects and Engineers Explain the Mystery of Building 7 (Ed Asner Narrates)
  • 9/11 History: The "Free Press" Ended A Long Time Ago (Or Maybe It Has Just Been Compromised By Stockholms Syndrome Since 9/11 By The GOP?)
  • An Exclusive Look At The 9/11 Terrorists In Their Den On 9/11: Pictures Of Dick Cheney Admiring His Handiwork On 9/11
  • 9/11 Mysteries: The Mystery Of The Magical Passport
  • 9/11 History: The Repeated Calls To Reopen The Investigation Into 9/11 Ignored!
  • Support The Bobby McIlvaine Act To Start A New Investigation Into Official Unscientific Stories Of 9/11
  • Update: Professional Engineers & Architects From AE911truth.org Continue To Debunk The Unscientific Official Story Of 9/11

Civil Unrest Scale

Civil Unrest Scale
Click Image To Learn About The Economic Indicators Of Social Unrest

Recommended Reading

Primitive Mythology By Joseph Campbell

Primitive Mythology By Joseph Campbell
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Occidental Mythology By Joseph Campbell

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Quotes


"Make peace with the universe. Take joy in it. It will turn to gold. Resurrection will be now. Every moment, a new beauty." - Rumi

"God is a metaphor for that which transcends all levels of intellectual thought. It's as simple as that." - Joseph Campbell

“If a problem is fixable, if a situation is such that you can do something about it, then there is no need to worry. If it's not fixable, then there is no help in worrying. There is no benefit in worrying whatsoever.” - Dalai Lama

“Be empty of worrying. Think of who created thought! Why do you stay in prison. When the door is so wide open?” ― Rumi

"Of all the animosities which have existed among mankind, those which are caused by difference of sentiments in religion appear to be the most inveterate and distressing, and ought most to be deprecated. I was in hopes that the enlightened and liberal policy, which has marked the present age, would at least have reconciled Christians of every denomination so far that we should never again see the religious disputes carried to such a pitch as to endanger the peace of society." - George Washington

Xmas

  • Santa's Surprise
  • Animation: Jack Frost (1934)
  • Animation: The Star Of Bethlehem
  • Animation: A Christmas Tree (1959)
  • The "War On Christmas"... Exposed!
  • Animation: The Christmas Visitor (1959)
  • Samantha Bee's 2018 Christmas Special
  • Christmas Cartoon: Christmas Night (1933)
  • Movie: Santa Clause Conquers the Martians
  • Christmas Special: Jon Stewart On Christmas
  • Christmas Carol - An Animated Movie (Cartoon)
  • Christmas Special 2017: The War On Christmas
  • "The War On Christmas" ... Exposed! (Part Deux)
  • Christmas Movie: A Christmas Without Snow (1980)
  • Christmas Sing-A-Long Cartoon: Snow Foolin' (1949)
  • Christmas Cartoon: Somewhere In Dreamland (1936)
  • Cartoon: Santa and the Three Bears (1970 - 45 mins)
  • Christmas Cartoon: Rudolph, The Red Nose Reindeer
  • Animation: Christmas Comes But Once A Year (Cartoon)
  • "The War On Christmas"... Exposed! (The Colbert Edition)
  • Christmas Special: Stephen Colbert On Christmas - Part 1
  • Christmas Special: Stephen Colbert On Christmas - Part 2
  • Christmas Special: Stephen Colbert On Christmas - Part 3
  • Christmas Special: Stephen Colbert On Christmas - Part 4
  • Christmas Special: Stephen Colbert On Christmas - Part 5
  • Christmas Special: Stephen Colbert On Christmas - Part 6
  • Christmas Special 2017: Happy Christmas With The President!
  • Animation: The Shanty Where Santa Claus Lives (1933 - Christmas Cartoon)
  • Comedy Central's Non-Denominational Christmas Special (S1Ep101) - Part 1
  • Comedy Central's Non-Denominational Christmas Special (S1Ep101) - Part 2
  • Comedy Central's Non-Denominational Christmas Special (S1Ep101) - Part 3
  • Old Silent Christmas Movies: The Night Before Christmas (1908) & The Christmas Angel (1904)
  • A Christmas Carol - Movie & Audio Books - The 1st Silent Film & 1st Audio Film Of A Christmas Carol

Full Movies Online

  • Action/Adventure: Into the Blue (2005)
  • Comedy: Dorm Troopers (Film/Movie)
  • Home | Horror Movie | Thriller | Drama Film
  • Sci Fi Movie: The Last Starship (2016)
  • Highlander | Action Movie | Sean Connery | Christopher Lambert | Full Film
  • Entertainment Past Links

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      • Learning and Education With The 'Socratic Method'
      • A Few Informational Links On Clean Energy
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      • Reaganomics by William A. Niskanen
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      • Financial Regulation by Bert Ely
      • Financial Regulation by Bert Ely
      • Externalities by Bryan Caplan
      • Public Goods by Tyler Cowen
      • Protectionism by Jagdish Bhagwati
      • Free Market by Murray N. Rothbard
      • Socialism by Robert Heilbroner
      • Informational Links
      • "Who Killed The Electric Car?" On PBS NOW
      • An Inconvenient Truth by Al Gore
    • ►  April (37)
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