May 26, 2012
Video: ‘Death Spiral Of Falling Demand’ – Venture Capitalist Nick Hanauer On Viewpoint with Eliot Spitzer
Venture capitalist Nick Hanauer explains why people create the demand which then creates the jobs. He says he makes 1000 times more than the average worker but that doesn’t translate to 1000 times the consumerism of the average worker. He can’t makeup the difference. So with more wealth accumulating within a small pool of wealthy people, that means less wealth spread across the rest of the country. It means less purchasing power and less demand for products and services from tens and hundreds of millions of Americans. This is why supply side (trickle down) economics doesn’t work. We’ve tried it for 30 years. How many more years do we need to continue failed economic policy before we wake up and realize it will never work?