Thursday, July 28, 2016

Kansas Supply Side Comeback Crashes.

Like all the other red state economies, tax and spending cuts have produced stagnant "comebacks" and proof beyond a shadow of a doubt supply side doesn't work. States that did have small surpluses came at the expense of defunding public investments and everything else.

The grand experiment, the Kansas Comeback, is exhibit A:
It’s been about six years since Kansas Gov. Sam Brownback (R) announced his plan to conduct “a real-live experiment” with his state’s economy. The far-right Kansan, working with a GOP-led legislature, would cut taxes far beyond what the state could afford, slash public investments, and wait for prosperity to flourish across every corner of the state.

None of that has happened. Not only have Kansas’ job growth and economic growth lagged behind neighboring states, but a couple of years ago the state’s bond rating was downgraded because of the fiscal mess Brownback created.

Mother Jones’ Kevin Drum wrote last month: “This, of course, has caused conservatives to think long and hard about their contention that cutting taxes on the rich and slashing bloated budgets will supercharge the economy.

In 2012, Senate Majority Leader Mitch McConnell (R-Ky.) said of Brownback’s radical economic experiment, “This is exactly the sort of thing we want to do here, in Washington.” Oddly enough, I haven’t heard McConnell repeat this line lately.

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