This is basically what Herbert Hoover and his rich buddies were saying in 1932:
“No one knew how to combat the Great Depression, but certain wealthy Americans were sure they knew what had caused it. The problem, they said, was that poor Americans refused to work hard enough and were draining the economy. They must be forced to take less. “Liquidate labor, liquidate stocks, liquidate the farmers, liquidate real estate,” Treasury Secretary Andrew Mellon told President Herbert Hoover. “It will purge the rottenness out of the system. High costs of living and high living will come down. People will work harder, live a more moral life. Values will be adjusted, and enterprising people will pick up the wrecks from less competent people.”
“Slash government spending, agreed the Chicago Tribune: lay off teachers and government workers, and demand that those who remain accept lower wages. Richard Whitney, a former president of the Stock Exchange, told the Senate that the only way to restart the economy was to cut government salaries and veterans’ benefits (although he told them that his own salary—which at sixty thousand dollars was six times higher than theirs—was “very little” and couldn’t be reduced).”