Trickle-up economics

Trickle-up economics (also known as bubble-up economics) is an economic policy proposition that final demand among a broad population can stimulate national income in an economy. The trickle-up effect posits that policies that directly benefit lower income individuals will boost the income of society as a whole, and thus those benefits will "trickle up" throughout the population.¹ It is the opposite of trickle-down economics.

Paul Krugman referred to the principle behind the Obama administration's economic policies as trickle-up economics,² while John R. Talbott used the term bottom-up economics.³ Biden's American Rescue Plan was also referred to as trickle up.⁴ Accompanying labeling differed from most trickle down labels in that both Obama's and Biden's approaches were characterized as spending heavy programs, rather than tax cuts in any particular tax bracket.²⁵ At the same time, some criticisms of Obama's economic policy were labeled trickle up.⁶

References

Degnbol-Martinussen, John; Engberg-Pedersen, Poul (2003). Aid: Understanding International Development Cooperation. Zed Books. p. 21. ISBN 978-1-84277-039-9. Retrieved Oct 11, 2008.
Krugman, Paul (September 16, 2016). "Obama's Trickle-Up Economics". The New York Times. ISSN 0362-4331. Retrieved 9 February 2023. It would be an exaggeration to say that the Obama administration has done the reverse, but there definitely was an element of trickle-up economics in its response to the Great Recession: Much of the stimulus involved expanding the social safety net, not just to protect the vulnerable, but to increase purchasing power and sustain demand. And in general Obama-era policies have tried to help families directly, rather than by showering benefits on the rich and hoping that the benefits trickle down.
Talbott, John R. (2011-01-04). Obamanomics: How Bottom-Up Economic Prosperity Will Replace Trickle-Down Economics. Seven Stories Press. ISBN 978-1-60980-068-0.
Baron, Neil (23 April 2021). "Biden's 'trickle-up' economics is just what America needs". The Hill. Retrieved 9 February 2023.
Schrager, Allison (12 June 2021). "Biden's trickle-up economics is bound to fail". The Frederick News-Post.
"Obama's trickle-up economy". New York Daily News. October 5, 2014. Add it up: Obama's economy has handsomely extended the long winning streak of the rich.

[aidbook-1] Degnbol-Martinussen, John; Engberg-Pedersen, Poul (2003). Aid: Understanding International Development Cooperation. Zed Books. p. 21. ISBN 978-1-84277-039-9. Retrieved Oct 11, 2008.

[:0-2] Krugman, Paul (September 16, 2016). "Obama's Trickle-Up Economics". The New York Times. ISSN 0362-4331. Retrieved 9 February 2023. It would be an exaggeration to say that the Obama administration has done the reverse, but there definitely was an element of trickle-up economics in its response to the Great Recession: Much of the stimulus involved expanding the social safety net, not just to protect the vulnerable, but to increase purchasing power and sustain demand. And in general Obama-era policies have tried to help families directly, rather than by showering benefits on the rich and hoping that the benefits trickle down.

[3] Talbott, John R. (2011-01-04). Obamanomics: How Bottom-Up Economic Prosperity Will Replace Trickle-Down Economics. Seven Stories Press. ISBN 978-1-60980-068-0.

[4] Baron, Neil (23 April 2021). "Biden's 'trickle-up' economics is just what America needs". The Hill. Retrieved 9 February 2023.

[5] Schrager, Allison (12 June 2021). "Biden's trickle-up economics is bound to fail". The Frederick News-Post.

[6] "Obama's trickle-up economy". New York Daily News. October 5, 2014. Add it up: Obama's economy has handsomely extended the long winning streak of the rich.

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