Radicals believe that Liberal targeted "tax-cut" planning
A) is innovative economics used to stimulate private-sector profitability.
B) causes short-run profits to rise, but results in a long-term rise in costs and a decline in inflation-adjusted wages.
C) eventually brings about a lower rate of unemployment.
D) makes wage controls mandatory.

Question

Quizplus · Accepted Answer

Radicals believe that Liberal targeted "tax-cut" planning causes short-run profits to rise but results in a long-term rise in costs and a decline in inflation-adjusted wages. They argue that tax cuts lead to a decrease in government revenue, which ultimately leads to a reduction in social programs and an increase in the national debt. Additionally, they argue that the benefits of tax cuts primarily go to the wealthy, while the costs are borne by the working class.

Radicals Believe That Liberal Targeted "Tax-Cut" Planning