One of the continuing myths that economists have been responsible for is the notion of – Trickle-down economics or supply-side economics. The popular version of notion is that if there are tax cuts for high income earners and the wealth (reducing capital gains taxes) then saving and investment will rise and the economic growth and productivity growth that ensues benefits even the lowest income earner. In the current debate about the so-called “fiscal cliff” in the US, the Republicans clearly want lower marginal tax rates for the high-income earners while calling for reform to entitlements, which benefit the lowest income recipients. There are countless statements from conservative and not-so-conservative politicians and commentators that cutting the highest marginal tax rates is the best way to stimulate growth. The only problem is that the evidence does not support the claims. Without an evidential basis, the real agenda of the conservatives then becomes transparent. They want to cut entitlements at the bottom end of the income distribution and pocket more at the top end. It is really as simple and as venal as that.