Re: Laffer curve and supply side economics

rmorea@xxxxxxxxxxx wrote:

> Yes. It works under some circumstances. Often it does not. Like
> Keynes.

Keynesianism actually more often works than it fail.
Just look at the Scandinavian countries. They actually implement a
system that can be considered Keynessian in many respects.
And works well for them.

Actually, Keynes approach make a lot of sense from the modern system
controll theory point of view. Keynes had an empirical approach to the
problem, without a solid base or analyze. However, the core concept seems
right:

You can stabilize and unstable nontrivial system by a negative reaction
controll loop. I believe that a review of Keynes with modern knowledge in
system theory like adaptive controll, fuzzy control, Nyquist, Lyapanov,
Popov etc can lead to the next big thing in economics.

> Quite likely the politicians neither understand Laffer's theories nor
> care to understand them, so long as they can justify what they wanted
> to do anyway.

I fully agree with that. There is an unfortunate name here: Politician.
It sounds like Musician and this mislead people to trust their knowledge.

In music the name Musician is reserved for a few, college educated or more.
The rest are just called singers.
Maybe we should also make a difference betwen a Politician and a
"Politinger" and stop calling every rap singer a Musician.



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