trickle-down theory


Definition of trickle-down theory

: a theory that financial benefits given to big business will in turn pass down to smaller businesses and consumers

Examples of trickle-down theory in a Sentence

Recent Examples on the Web Think of it as the modern day trickle-down theory, with tax cuts at the top finding their way to everyone else. Tax Notes Staff, Forbes, 7 Dec. 2021 Rumsfeld in turn introduced Mosler to Arthur Laffer, the conservative economist who devised the specious trickle-down theory of economics that has justified every major regressive corporate tax cut for the last 40 years. Robin Kaiser-schatzlein, The New Republic, 19 June 2020 So goes the trickle-down theory, attributed to Reagan but just as often espoused by local Democrats. Boots Riley, HWD, 2 July 2018

These example sentences are selected automatically from various online news sources to reflect current usage of the word 'trickle-down theory.' Views expressed in the examples do not represent the opinion of Merriam-Webster or its editors. Send us feedback.

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First Known Use of trickle-down theory

1936, in the meaning defined above

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The first known use of trickle-down theory was in 1936

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Last Updated

14 Dec 2021

Cite this Entry

“Trickle-down theory.” Dictionary, Merriam-Webster, Accessed 19 Jan. 2022.

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