Potential Problems

There are a couple potential problems with the analysis that I gave in the last couple of posts.  The first is that a more comprehensive look at the political system may yield a different result.  It might be the case that if I looked at which party had control over the legislature that this would alter the picture in some way.  On the other hand it might not.  That is why this is only a potential problem.

The next is that it might be that I am wrong about what is good for the economy.  For this reason it might be unwise to vote for a Democrat no matter how poorly the economy is doing.  In the long run, it would be wise to check whether the higher spending on defense and lower taxes really led to slower economic growth.

I should point out as I did in previous posts that the idea that higher taxes would contribute to growth is based on the idea that the money would go to pay off the debt.  That is, it is higher taxes when military and social spending are both held constant.