Which of the following would supply-side economists advocate?
I.reducing tax rates in order to encourage people to work more
II.providing investment tax credits to stimulate capital formation spending
III.increasing government spending
IV.increasing transfer payments to those who want to be retrained for employment

Question

Quizplus · Accepted Answer

Supply-side economists believe in reducing tax rates to incentivize individuals to work more and providing investment tax credits to stimulate capital formation spending. They do not advocate for increasing government spending or transfer payments.

Which of the Following Would Supply-Side Economists Advocate