The economic policy of the Reagan administration can be described as

Question

Quizplus · Accepted Answer

The economic policy of the Reagan administration, commonly known as "Reaganomics" or supply-side economics, focused on reducing taxes and encouraging spending to stimulate economic growth. This policy intended to increase employment, productivity, and tax revenues. Reagan's administration believed that reducing regulations on businesses and individuals would lead to increased economic growth, which would ultimately benefit all Americans. Reducing the budget deficit was also a goal, but this was mainly achieved through increased revenue from economic growth rather than significant cuts in federal government spending. Increasing consumer spending to control inflation by increasing tax rates was not a main focus of Reagan's economic policy. The government did use its taxing and spending powers, but primarily to influence economic productivity and the business cycle. Finally, Reagan did not raise taxes, declare war, and increase consumer spending simultaneously, so choice E is also incorrect.

The Economic Policy of the Reagan Administration Can Be Described