Paul Krugman: ‘New Deal Created the Middle Class’

Paul Krugman

Source: Fora-TV

Source:The New Democrat

Government, doesn’t create economic classes. They can assist people to do better. Which is where things like education, infrastructure, a modern working regulatory state, a tax code that encourages expansion and economic growth, a safety net for people who are struggling, etc. Government can also encourage people not to do well. We have ghettos, because of public housing being concentrated in low-income communities that have low education and high crime rates. Families with mothers who don’t have the skills to take care of their kids and where their father of their kids are out of the picture, etc.

The New Deal was not an economic policy, or ideology. But the creation of the American safety net that is today even with the Great Society is still much smaller than European welfare states. I and others left and right would argue that is a good thing. But that our safety net need to be better, not bigger and designed to empower people to take control over their own lives. And not leave them in poverty. Which is really a different discussion. It wasn’t the New Deal that created the American middle class. We already had one before the Great Depression. Just like the New Deal didn’t get us out of the Great Depression. Since we were still dealing with the Depression at the start of World War II.

The role of government at least in a free society with a private economy is not to manage the economy. But to see that there is an environment where the most people possible can succeed. Which is what I mentioned in the first paragraph. Quality education for all, a national modern infrastructure system, a tax code that encourages economic growth, a modern regulatory state that does the same thing, while at the same time protects consumers and workers. You want government to promote your trade and your products and a safety net that empowers people to get up on their own feet. Doesn’t hold them down with a few extra bucks. And then let the people make the most of the economy that they put into it and collect the results from it.
Fora-TV: Paul Krugman- New Deal Created The Middle Class

About Derik Schneider

I’m an easy going guy who is never afraid to crack a joke. I’m almost always in a good mood, I believe the happier you are the better off you’ll be & the longer you’ll live. I believe in living life rather than being alive. Very hard to get me down. I tease because I care. I try to find humor in everything & everyone that I see. I tease anyone that I respect, care about, like, or love. If I’m not joking around with you, or teasing you, it is because I don’t know you well, don’t like you or you don’t mean a whole hell of a lot to me. I blog about a lot of different things, because I have a lot of different interests and knowledgeable about a lot of those areas. How knowledgeable I am, you can decide that for yourself by checking out my blog. And we can talk about what is what in an adult professional manner. And perhaps even learn things from each other that we didn’t know going in.
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