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Once a defining principle of conservative governing economic policy, supply-side economics has taken some political hits in the last decade. The progressive left has always critiqued laissez- faire economics, blaming the pursuit of smaller government, tax cuts, deregulation and open trade for increasing inequality. But now large parts of the right seem to dislike supply-siders too. Populists oppose free trade and favor more government intervention in the economy, and while Donald Trump has achieved big tax cuts in both his terms in office, his signature economic measure is tariffs and he seems eager to expand government's role in the economy, from telling companies what they should be doing with prices to taking stakes in big American firms and directing foreign investment into favored industrial activities.
Have the supply-siders lost?
On this episode of Free Expression, Gerry Baker speaks with Matthew Elliott, member of Britain's House of Lords, and co-author with Arthur Laffer one of the godfathers of supply side economics and Michael Hintze, a London-based hedge fund founder, of a new book “Prosperity Through Growth.” They discuss the case for reviving conservative economic ideas, especially in the U.K., the risks of Trump's tariffs and trade policies, and whether Brexit, which fired the starting gun for populist economics, was a failure.
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