Liberals understand economics about as much as Forrest Gump understands Quantum Physics. Well….. Forrest probably has a best grasp.
Check it out:
In a throwback to the economic policy and theory of the 1950s, President Obama in a recent speech blamed the rich for concentrating wealth and spending too little on consumption:
Concentrated wealth at the top is less likely to result in the kind of broadly based consumer spending that drives our economy.
The President apparently believes that consumer spending, rather than savings and investment, drives economic growth. But, as this chart shows, personal consumption is at a post-war high as a share of national expenditure. If consumer spending really did drive the economy, it would be booming.Continue reading on blog.heritage.org