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"In the last 40 years, a "new" type of economic model arose.."

Did this model really arose ? Did anyone really create a document arguing for this "model" or was this just a theory, a lame excuse thrown on TV (and reverberated to heavens and back) to the masses by the politicians who got bribed to shower some special interests with easy money? How in the world can someone argue that we should make it much easier for some groups of people to become so rich that they'll get tired of money and the power it confers and they'll become benefactors and throw it more easily to the poor people who work for them ?

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"Trickle down" is the political synthesis of the Chicago School of economics, largely invented by https://en.wikipedia.org/wiki/Milton_Friedman , and the existing authoritarian built in the Republican Party.

Remember that their counter-argument is that giving money to people who don't deserve it (proven because they are not the elite) is a waste because they don't "build" anything with it, since they need to spend it.

The value of this proposition is to build concentrations of wealth, which are their own proof of virtue.

The religious expression of this is the Prosperity Gospel https://en.wikipedia.org/wiki/Prosperity_theology .

This is like saying YC should give their money to the poor instead of investing it in privileged entrepreneurs from Ivy League universities

I think thats the wrong analogy.

Trickle down would be to give the money to big successfull corporations and hopen that they are buying and funding startups with it.

Why would YC give their hard earned money to the lazy poor startups when they can give it to hard working companies like Microsoft and IBM?

> largely invented by https://en.wikipedia.org/wiki/Milton_Friedman

That doesn't seem correct. I'm led to believe that trickle down economics (the concept, if not the name) existed before Milton Friedman was born after looking through https://en.wikipedia.org/wiki/Trickle-down_economics.

I’m old enough to remember the 1980s. And the time everyone did point to one particular economics paper to “prove” trickle-down would work.

I also remember the author of the paper saying his work was being misinterpreted… but GOPers out-shouted him.

According to wikipedia the concept dates back to 189X https://en.wikipedia.org/wiki/Trickle-down_economics

Concept as in "an argument to get votes or to put some politics in place".

Who would've known that trickle-down and greed would have a synergistic effect, right?

Nọ. Trickle down has never been economic theory.

It's just political slogan. Sometimes it used to refer supply-side economics.

Not sure why this is being downvoted. This is true.

Why would someone call their theory "trickle down"

Like waterfall/agile, trickle down economics is the name used by critics of supply side economics, not it's creators. It's use instantly reveals you are a critic, not knowing that isn't what it's actually called reveals ignorance on the subject of economics more generally.

Or as G.H.W. Bush put it, Voodoo economics.

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