George Gilder Tells Jason Hartman How He Helped Create Supply-side Economics, and Explains Why China is now more Capitalist than the U.S.
Sep 03, 2016 /prREACH/ -- Phoenix, AZ – Acclaimed real estate and economics podcaster Jason Hartman had a deep discussion on fiscal policy with renowned economist George Gilder. The two agreed that Wall Street, the Fed and government legally “scam” everyday individuals and citizens. “There’s a Main Street economy, and there’s a Wall Street economy, and the two have little to do with each other,” Hartman said. Gilder added to Hartman’s thesis by citing data on the disconnect between dominant industries and industries that create value. “Currency trading is the biggest industry in the world,” Gilder said. “It’s 73 times larger than all the trade in goods and services around the globe put together. It’s 26 times global GDP. It’s hundreds of times larger than all stock market trading.” Moving forward in today’s digital economy – where outsourcing is rampant and the cost of starting and doing business has declined – Gilder believes curiosity, learning, information, and knowledge is key to growth. “If wealth is knowledge, then growth is learning,” Gilder said. “Value is information. You can print money, but you can’t print value,” Gilder said. Gilder penned the new bestselling book THE SCANDAL OF MONEY: Why Wall Street Recovers but the Economy Never Does. He previously wrote the classic economics work WEALTH AND POVERTY, which former President Ronald Reagan frequently publicly quoted and referenced while shaping his policy. Back then, China wasn’t developed and was still very much under communist rule. Two decades later, tides have turned. “Government spending in China is now only 17% of their GDP,” Gilder said. “That’s about half of what government spending is in the United States for GDP. Communist China has become more capitalist than we are. That’s an historic turnaround consummated by the Obama Administration after declaring it wanted to fundamentally transform America.”
In addition to developing President Reagan’s economic plans, Gilder also had a short stint as Reagan’s speechwriter during his first run for President. Today, Gilder serves as co-founder & Senior Fellow at the Discovery Institute.