Redistribution vs. Growth

Here is President Obama today, speaking before meeting with his Cabinet.

We want to maximize the pace of our recovery, but most importantly, we want to make sure that every American is able to benefit from that recovery, that we’re not leaving anybody behind and everybody is getting a fair shot.

With “but most importantly,” President Obama is prioritizing distribution over growth. He is saying that helping some Americans is more important than economic growth for all Americans.

Kudos to the President for actually making a choice–most politicians would falsely assert that there is no tradeoff between faster economic growth and greater equity. There often is.

Too bad he’s chosen the prioritization that’s opposite of my own: growth, growth, growth, in the short run and the long run.

Here is what I wish the President had said instead.

We want to maximize the pace of recovery. The surest way to help the greatest number of Americans is for government to create conditions that allow for rapid economic growth and job creation. And the best way to make sure every American has the chance to benefit is to create an expanding economy with opportunities for all.

(photo: Official White House Photo by Pete Souza)

By | 2017-11-04T20:32:51+00:00 Tuesday, 14 January 2014|