Once again, it's upside down land over at Faux "news" with Bill-O and his buddy Charles Krauthammer. Never mind how many times their trickle-down economic theories have been proven wrong, they're got their story line down and they're sticking to it.
Fox News contributor Charles Krauthammer attacked attempts to reduce income equality as only exacerbating economic growth and unemployment. But leading economists have supported government efforts to address inequality, calling it a paramount issue facing the country.
On the November 18 edition of Fox News' The O'Reilly Factor, host Bill O'Reilly and Krauthammer met ostensibly to discuss rising economic inequality in the United States. Their conversation, however, quickly devolved into standard attacks against the efficacy of policies aimed at reducing inequality and building economic security. Citing a report from the Congressional Budget Office (CBO), O'Reilly highlighted the "astounding" income gains of the top 1 percent of earners from 1979 to 2007 before turning to blame President Obama for failing to address growing inequality during his administration. Krauthammer joined the chorus, blaming President Obama's expressed concern with reducing economic inequality for actually driving unequal economic growth during his time in office [emphasis added]:
O'REILLY: President Obama promotes income equality, but during his time in office the rich are getting richer and the median income for working Americans has actually gone down. Joining us now from Washington, Charles Krauthammer. So why is this happening?
KRAUTHAMMER: It's happening because there is low economic growth. It's what Kennedy said; a rising economic tide lifts all boats. If you're obsessed with equality, as they are in Europe, what you end up with is chronic unemployment.
Krauthammer's claim that efforts to reduce economic inequality have an adverse effect on the economy is patently false. Economist Robert Reich has argued for decades that economic inequality "is bad for everyone," including the very wealthy, because it reduces economic growth potential.