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Hollowed Out: Why the Economy Doesn't Work without a Strong Middle Class, by David Madland
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For the past several decades, politicians and economists thought that high levels of inequality were good for the economy. But because America s middle class is now so weak, the US economy suffers from the kinds of problems that plague less-developed countries. As Hollowed Out explains, to have strong, sustainable growth, the economy needs to work for everyone and expand from the middle out. This new thinking has the potential to supplant trickle-down economics—the theory that was so wrong about inequality and our economy—and shape economic policymaking for generations.
- Sales Rank: #566122 in Books
- Published on: 2015-06-24
- Original language: English
- Number of items: 1
- Dimensions: 8.25" h x .80" w x 5.50" l, .0 pounds
- Binding: Paperback
- 272 pages
Review
"The director of economic policy at the Center for American Progress argues that it is time to mount a political challenge to the economic theories namely, supply-side, or trickle-down economics that have provided cover for the unparalleled growth in inequality over the past three decades. . . . A dramatic and clearly delineated outline of 'how the stage has been set for transformative political conflict.'" (Kirkus 2015-05-15) --ccooke@ucpress.edu
From the Inside Flap
“When will we learn that an economy that works just for the wealthy just doesn’t work? David Madland, one of the nation’s wisest young scholars, explains with clarity and eloquence why trickle-down economics can’t keep its promise of rapid growth—and why a more just economy will provide better results for everyone. This is a truly important book that should shape our debate for many years to come.”—E. J. Dionne Jr., Senior Fellow, Brookings Institution, Professor, McCourt School of Public Policy, Georgetown University, and author of Our Divided Political Heart: The Battle for the American Idea in an Age of Discontent
“David Madland marshals reams of data, economic analysis, and social science to make a deeply persuasive case for middle-class economics—not only as a means of achieving sustainable, equitable economic growth, but as the absolutely crucial foundation of American society. Hollowed Out patiently walks us through the factors leading to the recent decline in middle-class income and stability and, crucially, shows how to get the economy back on the right track.”—John Podesta, former Counselor to President Barack Obama and former Chief of Staff to President Bill Clinton
“Trickle-down economics is the biggest economic lie ever told, and David Madland expertly and authoritatively shows us why. Meticulously researched and thoughtfully argued, Hollowed Out explains in plain language why growth and prosperity are always built from the middle out, not the top down. This should be required reading for economic policymakers.”—Nick Hanauer, Seattle-based entrepreneur who has helped launch more than twenty companies, including aQuantive Inc. and Amazon.com
“The dose is the difference between medicine and poison in economics as in healthcare. Hollowed Out makes the case that US inequality has gone beyond supply-siders’ medicine for growth to poisoning our economy via loss of trust, political polarization, debt-driven consumer demand, and self-perpetuating aristocracy of wealth. Every member of Congress should read this before voting on the next tax cut for the wealthy.”—Richard Freeman, Professor of Economics, Harvard University
“Ideas are a powerful force in politics, and David Madland develops a very big and important one. Madland shows that the hollowing out of the American middle class has deeply damaged our economy, and in order to get back on track we need to make the economy work for everyone, not just the rich. Hollowed Out provides an important road map for anyone who wants to understand what is wrong with our economy and what needs to be done to fix it.”
Neera Tanden, President, Center for American Progress
About the Author
David Madland, Ph.D., is Managing Director for Economic Policy at the Center for American Progress.
Most helpful customer reviews
7 of 7 people found the following review helpful.
Supply side trickle down... is it really valid or just an institutionalized myth? what does the data show?
By rlhLittleton
well presented arguments challenging the myths of supply side trickle down theories (supported by both political parties) but also questioning the assumed role of middle class... that is, does the middle class drive the economic engine of growth in successful economies creating a form of "trickle outward" vs the trickle down theory that the top wealth provides such growth which then benefit the middle class. Are the wealthiest and middle class inherently oppositional or wholly dependent in their survival? After the great recession new evidence challenges the validity of old thinking. As institutionalized theories begin to erode in the data that contradicts long held beliefs, the rhetoric and extremism to stand by such concepts becomes more radical in positioning policy... is that happening now? Food for thought. (hint: not a book about taxes!)
4 of 4 people found the following review helpful.
Hollowed out helps me gain a better understanding of the term middle class
By Tauni
Hollowed out helps me gain a better understanding of the term middle class, an imperative definition backed by deep research and irrefutable clear writing, a practical tool to use when both sides of the US political spectrum use the term to muddy the waters. The book is fresh air that will help level the playing field of our collective understanding of our Country’s banking system, financial inequality gap and the societal implications. My hope is that you read Hollowed Out and it brings about new food for thought to challenge the failed trickle down logic and brings about national conversation on how to create a stronger sustainable economy for us all.
4 of 4 people found the following review helpful.
The author's innovative argument about the societal benefits of a strong middle class should be required reading for all who wan
By Nicholas A Kinsey
Nearly 35 years after Reagan first implemented trickle down economic policies, much of the country still treats those principles as dogma despite the increase in income inequality and decrease in quality of life for all but the richest Americans. Madland's book is a timely and engaging analysis of how those policies are failing our economy and our society. The author's innovative argument about the societal benefits of a strong middle class should be required reading for all who want better communities to raise their children and for those kids to inherit a sustainable economy.
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