QuestionJune 20, 2025

President Reagan implemented a policy of supply-side economics, what did this mainly entail? decreasing consumer spending increasing investments in human capital increasing government spending decreasing marginal tax rates

President Reagan implemented a policy of supply-side economics, what did this mainly entail? decreasing consumer spending increasing investments in human capital increasing government spending decreasing marginal tax rates
President Reagan implemented a policy of supply-side economics, what did this mainly entail?
decreasing consumer spending
increasing investments in human capital
increasing government spending
decreasing marginal tax rates

Solution
4.7(332 votes)

Answer

decreasing marginal tax rates Explanation Supply-side economics primarily focuses on boosting economic growth by decreasing marginal tax rates, which is believed to incentivize investment and increase production. This approach contrasts with increasing government spending or consumer spending.

Explanation

Supply-side economics primarily focuses on boosting economic growth by decreasing marginal tax rates, which is believed to incentivize investment and increase production. This approach contrasts with increasing government spending or consumer spending.
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