Simple Economic Truths

Wealthy people have more money than they have needs or wants, so they save their money and invest to try to make more money.  Their investment funds economic growth.

Lower income people have more needs and wants than money, so they save little and spend a lot.  But the money they spend on needs and wants generates economic growth.

To little money to invest stifles the economy.  But so does to little growth in the spending money in the pockets of lower income people.

Republican's obsess about the first part of this equation, but ignore the second part.

Asset bubbles are an indicator that too much wealth is going to the folks who's wants and needs are fulfilled.  There is not enough consumer demand to support new business, so the folks with extra money laying around start buying up existing assets hoping to sell to someone else for a higher price.

Asset bubbles have been a hallmark of the US economy for the last decade and a half, but Republican's still don't get it.  Our economy is weak because too much money is concentrated in the hands of people whose every need and want is satisfied, and not enough is getting into the pockets of people with needs and wants.