Stories

Supply-side economics, but for liberals

Neil Irwin of N.Y. Times' Upshot just made the case of "supply-side economics" for liberals, since the economic approach is typically related to Reagan-ear conservatives. Here's why:

"Certain social welfare policies [such as child-care subsidies], according to an emerging body of research, may actually encourage more people to work and enable them to do so more productively."

The argument: "The United States and other advanced nations are struggling to emerge from a pattern of persistently low growth, an era when many prime-age people aren't in the labor force at all and productivity gains have been weak for years. Supplementing low-end wages through the tax code and ensuring that children have the food and education to become productive adults just may help."