According to the GOP majority and the Trump administration, the next big item on the agenda is tax reform. The theory (the conceptual framework) will be supply-side economics — the lower the top marginal tax rate the higher the productivity. Supposedly, as productivity rises, so does the income to support it.
Although productivity since 1979 has risen, median income, however, has fallen. This is what operationalizing supply-side theory is intended to do. The natural result is a long, deflationary trend (the K-Wave). Objectivists, like Speaker of the House, Paul Ryan, contend that this natural result is a “natural identity.” In other words, it is a natural tendency, like a law of nature. (It is not an addjective identity, it is an “objective reality.”)
Naturally, as median income falls, people are more productive to gain more income against rising prices (due mostly to consolidation of industry and markets, described as “making markets more efficient”). Not only are people more productive due to falling income, but because products and services are less and less affordable, even more supply tends to be added.
The natural tendency of this operational concept (supply-side theory) is the long, deflationary trend we are in now (being described as a slow recovery), econometrically measured (verified) with near-zero, if not negative, interest rates.
Now, understand, the Fed is not raising interest rates because the recovery is more robust. It needs headroom, against a strong-and-long deflationary trend, due to the “intendencies” (the addjective reality) of supply-side theory (being described as THE objective reality to which we are all naturally obliged, as Kant described it, being categorically imperative despite whatever identity we may add to it).