Which of the following is not a supply-side policy to cure inflation?
A)Reduced marginal tax rates.
B)Incentives to encourage saving.
C)Lower interest rates.
D)Reduced import barriers.

Question

Quizplus · Accepted Answer

Lowering interest rates is a demand-side policy aimed at stimulating spending and investment. Supply-side policies, on the other hand, are focused on increasing the economy’s productivity and capacity to produce goods and services, such as reducing marginal tax rates to incentivize work and investment, encouraging savings to provide more funds for investment, and reducing import barriers to promote competition and efficiency.

Which of the Following Is Not a Supply-Side Policy to Cure