A supply-side policy to cure a recession might include
A)A decrease in government spending.
B)Tax incentives for students and entrepreneurs.
C)A tax increase.
D)A decrease in the reserve requirement.

Question

Quizplus · Accepted Answer

Tax incentives for students and entrepreneurs can encourage increased investment and innovation, which can lead to increased production and economic growth. Decreasing government spending, taxing more, or decreasing the reserve requirement could potentially have a negative impact on economic activity and make the recession worse.

A Supply-Side Policy to Cure a Recession Might Include