Let's take a look at what occurs with Ryan's budget plans and the Aggregate Demand.
Aggregate Demand (AD) = C + I + G + (X-M)
C = Consumers' expenditures on goods and services.
I = Investment spending by companies on capital goods.
G = Government expenditures on publicly provided goods and services.
X = Exports of goods and services.
M = Imports of goods and services.
Instead of focusing on (C)onsumer expenditures for goods and services, Rep. Paul Ryan wants to reduce (G)overnment expenditures on publicly provided goods and services.
The Ryan Budget cuts $4.3 billion from the food stamp program. Just for example let's say the (G)overnment expenditure on publicly provided goods and services is cut in half.
Aggregate Demand (AD) = C + I + (1/2)G + (X-M)
What is going to happen to the Aggregate Demand?
The AG will fall. If the AG falls will there be loss of jobs. You betcha. If the Aggregate Demand falls will there be job growth? Absolutely not. If the Aggregate Demand falls IS THERE AN INCENTIVE for employers to increase their investment in the market place? Never.
The Ryan Budget will decrease demand in our market place, it will cost jobs and will add to a lack lust economy. The Republicans have it "W"rong.
When the Republicans talk about unemployment rates, they are CAUSING it and not stimulating growth.
Will wages for Americans increase if there is a fall in demand? No. Will there be job losses and increases in unemployment if there is a fall in demand? Absolutely. So, there it is. The Republicans are causing the USA economy to languish in "mediocre" rather than return "vibrancy" and "robust" as adjectives.
Republicans like Cruz are deceiving the American people and their constituents. They treat them as mindless sheep that will follow him over the cliff and never regret it.