According to most economists, what will a cut in tax rates do?
A) increase government tax revenue
B) decrease significantly the hours people work
C) have a smaller effect on the aggregate-supply curve than what supply-side economists believe
D) increase tax revenue by increasing worker effort

Question

Quizplus · Accepted Answer

Most economists believe that a cut in tax rates will have a smaller effect on the aggregate-supply curve than what supply-side economists claim, as the latter often argue that tax cuts significantly boost economic activity and tax revenue.

According to Most Economists, What Will a Cut in Tax