Republican Economic Fantasy vs. Reality
Part I: Where in the world do Republican economic policies actually work?
One thing I want to make crystal clear: I don’t care about left vs. right politics. What I care about are good ideas—regardless of where they come from. That means I constantly check myself to ensure I’m not just engaging in partisan rhetoric. And when it comes to economic policies and quality of life, the reality is that most of the best ideas seem to come from the left. That doesn’t mean there aren’t bad left-wing policies too, but in broad terms, the evidence is fairly consistent.
That being said, Trump supporters aren’t entirely wrong. They have every reason to be angry. The working class in America has been struggling for decades. Wages have remained stagnant. Homeownership is increasingly out of reach. The cost of living has skyrocketed. These are indisputable facts, and for once, it’s something people on both sides of the political spectrum can agree on.
But while the left sees economic policies that have disproportionately benefited the top 1%, the right sees a “Deep State” conspiracy selling out the American working class.
So the real question is: Where have Republican economic policies actually worked?
The Republican Economic Playbook
For decades, conservative economic policies have centered around three main pillars:
Deregulation – Reducing government oversight of businesses.
Privatization – Moving public services into private hands.
Tax Cuts for the Wealthy and Corporations – Often framed as "trickle-down economics."
These ideas have been sold to Republican voters for generations. So where have they actually delivered the promised results?
Kansas: The Real-Life Republican Experiment
The most recent and clearest example of conservative economic policies in action is Kansas under Governor Sam Brownback (2011–2018). Brownback promised that aggressive tax cuts, deregulation, and government downsizing would boost economic growth, create jobs, and balance the budget.
Instead, it led to economic disaster.
Kansas’ Economic Decline Under Brownback
Slower Growth, Fewer Jobs
From 2013–2016 (when Brownback’s tax cuts took effect), Kansas’ GDP grew only 3.8%, about half the national rate of 7%.
Job creation stalled: Employment grew just 2.6%, compared to 6.5% nationwide.
Private-sector job growth in Kansas was only 3.5%, while the rest of the U.S. saw 7.6% growth.
Budget Crisis and Credit Downgrades
Kansas’ tax revenues plummeted due to deep tax cuts.
The state faced nine rounds of budget cuts just to stay afloat.
Kansas began 2017 with a $350 million budget deficit.
The state’s bond rating was downgraded twice due to its financial instability.
Public Services Collapsed
Schools closed early in 2015 due to lack of funding.
Higher education took a hit: tuition at Kansas public colleges rose 21% under Brownback.
Infrastructure suffered as road maintenance budgets were gutted.
Medicaid delays skyrocketed, leaving low-income residents waiting months for approval.
The tax cuts were so disastrous that in 2017, a Republican-led legislature overrode Brownback’s veto to repeal most of them.
Has This Worked Anywhere Else?
Let’s look at other examples where similar policies have been implemented around the world.
United Kingdom (1980s – “Thatcherism”)
Margaret Thatcher’s government slashed taxes, privatized major industries, and weakened unions. The results?
Inflation fell, and some industries became more competitive.
Unemployment hit record highs (9.5% in 1984).
Manufacturing collapsed, leading to the decline of industrial towns.
Income inequality surged—the rich got richer while working-class wages stagnated.
Social mobility declined—it became harder for the poor to move up the economic ladder.
Chile (1970s–1980s – “Neoliberal Experiment”)
Under dictator Augusto Pinochet, Chile implemented one of the earliest radical free-market reforms:
Privatized pensions, healthcare, and education.
Reduced social safety nets.
Hyperinflation was controlled, and poverty eventually declined.
But inequality skyrocketed, and by the 2010s, Chile was one of the most unequal countries in the world.
Mass protests erupted in 2019 due to low wages, high costs of living, and underfunded public services.
Russia (1990s – “Shock Therapy”)
After the collapse of the Soviet Union, Russia tried to rapidly transition to capitalism through mass privatization and deregulation.
GDP collapsed by 40%.
Poverty skyrocketed (from 2% to 24% of the population).
Life expectancy for Russian men dropped by 7 years.
A small group of oligarchs became extremely wealthy, while millions of Russians were left in destitution.
Developing Countries (1980s–2000s – IMF Structural Adjustments)
Many developing nations adopted privatization and spending cuts to qualify for loans from the International Monetary Fund (IMF). The results?
Latin America’s “Lost Decade” saw economic stagnation and rising inequality.
Argentina’s financial crisis (2001) was caused by overreliance on deregulated markets.
Sub-Saharan Africa’s structural reforms led to increased poverty and weaker public health systems.
The Pattern Is Clear: Does This Work for the Working Class?
The data is overwhelming: these policies have overwhelmingly failed to improve conditions for working-class people.
Kansas proved tax cuts don’t pay for themselves.
Thatcher’s UK saw an economic boom for the rich, but not for workers.
Chile’s model reduced poverty but increased inequality so much that mass protests erupted.
Russia’s “free market” reforms collapsed the economy and made a few oligarchs incredibly rich.
Developing countries forced into austerity often saw public services gutted, hurting the poor the most.
When tax cuts for the wealthy, deregulation, and privatization are not accompanied by strong public investments, the results are almost always higher inequality, stagnant wages, and social instability.
So Why Do People Keep Voting for These Policies?
If these policies consistently fail to improve the lives of working-class people, why do voters—especially in red states—keep supporting them?
Culture Wars Distract from Economic Policy. The right focuses heavily on social issues (immigration, gender, crime), making economic policy an afterthought.
Trickle-Down Promises Are Seductive. Many people still believe the myth that tax cuts and deregulation will lead to prosperity for all.
Corporate and Political Interests Push the Narrative. Wealthy donors and corporations have a vested interest in keeping taxes low and regulations minimal.
Decades of tax cuts for the wealthy, deregulation, and privatization have promised prosperity but delivered stagnation, rising inequality, and gutted public services. Meanwhile, the wealth gap grows, corporate profits soar, and working-class Americans are left footing the bill.
We don’t have any examples of Republican economic policies leading to better wages, better healthcare, or better job opportunities for the working class. So why keep supporting them?
Up next: Part II – Are there places where progressive (left) economic policies have worked?
Primary Sources & Economic Data:
U.S. Bureau of Economic Analysis (BEA) – Data on GDP growth, income distribution, and economic performance under various tax policies.
https://www.bea.gov/
Congressional Budget Office (CBO) – Reports on the impact of tax cuts on deficits and income inequality.
https://www.cbo.gov/
Internal Revenue Service (IRS) – Historical tax revenue and corporate tax rate data.
https://www.irs.gov/statistics
Academic Studies & Policy Reports:
Economic Policy Institute (EPI) – Research on wage stagnation, income inequality, and the impact of tax cuts.
https://www.epi.org/
Brookings Institution – Analyses of tax policy effects on economic growth and social mobility.
https://www.brookings.edu/
Tax Policy Center (Urban Institute & Brookings Institution) – Reports on how tax cuts impact different income groups.
https://www.taxpolicycenter.org/
National Bureau of Economic Research (NBER) – Studies on the long-term effects of Reaganomics, Bush-era tax cuts, and Trump tax policies.
https://www.nber.org/