Today is Election Day in the U.S., and I’m reminded of a funny thing I saw on CNBC last Friday. Morning Call hosted two economists, one from the AFL-CIO labor union, and the other from the libertarian Cato Institute. Surprisingly, they both agreed that a Democratic majority in Congress would improve the economy.
The AFL-CIO economist said that Democrats would fight to increase the minimum wage (which studies have shown do not significantly increase unemployment) and would allow Bush’s tax cuts, which the country can’t afford, to expire. The Cato economist said that a Democratic Congress would split the government, introducing gridlock and preventing the government from enacting dumb policies. He pointed out that since World War II, government spending has grown the fastest when the same party controlled both the Congress and White House: LBJ, Jimmy Carter, and George W. Bush.
So if you want to vote with your wallet, vote Democrat!