About half the population doesn't even understand how marginal income tax rates work. I bet the fraction that doesn't know that "lowering inflation" still means "prices are going up, not down" is quite a bit larger than that.
Snark aside, I really wonder how we as a nation can get to better politics and policy when so many people are so misinformed about the basics. It seems hopeless at times.
Instilling critical thinking skills from a young age. The actual educational content is far less important. "Learning how to learn" should be the primary purpose of K-12.
