Explaining Keynesian Economic Theory

Don't let the phrase intimidate you - this is an excellent easy-to-understand video about one theory of how to handle a sluggish economy:

So, now you know why everything the Democrats are trying to do will fail - because it always has before.

What actually helps an economy is to get government out of the way so that the free market can expand and grow. Things like tax cuts -- like the one Bush did in 2003 -- provide a real incentive for people to become more productive. More products and services are made, more products and services are sold, more jobs are created, more spending occurs, and the economy prospers. If we want the economy to recover quickly, all Obama would have to do is to implement a sweeping plan of tax cuts (real ones, not just redistribution) that rolls back income tax rates, capital gains rates, and other taxes, even for a temporary period of one or two years. You'd see a massive influx of private capital into the market, and the economy would turn around in short order.

Of course, that'll never happen. Instead, Obama is going to follow in the footsteps of Hoover and FDR and raise both taxes and spending instead, making things worse. It's too bad history is ignored so often, because it has a lot to teach us.

This is good stuff, and needs to be viewed by as many people as possible. Pass it on!

There's my two cents.