The President of the United States of America (USA), Joe Biden, defended this Thursday before businessmen on the American continent that it is time to bury neoliberalism and adopt policies that promote better-paid jobs.
“We have to update our recipe for economic growth. In my opinion, it’s time to bury the multiplier economy”, said the head of state, at an event of the IX Summit of the Americas, taking place in Los Angeles, USA.
The ‘trickle down’ effect is an economic theory that had great repercussion during Ronald Reagan’s presidency, between 1981 and 1989, and which suggests that reducing taxes on companies and the richest stimulates investment and promotes the creation of jobs.
Biden defended that “any job can be done paying good wages and respecting workers’ rights”, so that families have greater well-being and thus “everyone wins”, including businessmen.
On the contrary, she said, neoliberal recipes, which were also criticized in her time by former President Barack Obama (2009-2017), generate “greater inequality, less growth, less competition, and less innovation.”
The President also reiterated his support for the unionization of workers, affirming himself more than once as a “pro-trade union president”.
And he defended the use of international financial organizations, such as the Inter-American Development Bank (IDB) to combat inequalities in the region.
“For example, we have to make it easier for Latin American and Caribbean countries to develop 5G infrastructure without having to choose between investing in a digital future or in renewable energy,” he said.
Biden arrived in Los Angeles on Wednesday to inaugurate the 9th Summit of the Americas, the first to be held in the United States since the first one, in Miami, in 1994.
Source: With Agencies