The "supply-side" economic theory embraced by President Ronald Reagan called for
A) greater federal assistance to poor Americans.
B) a reduction of defense spending.
C) a reduction of personal and corporate taxes.
D) the privatization of Social Security.
E) balancing the federal budget.

Question

Quizplus · Accepted Answer

The "supply-side" economic theory, also known as Reaganomics, called for a reduction of personal and corporate taxes to stimulate economic growth and increase the supply of goods and services. This was intended to create a trickle-down effect where the benefits of economic growth would eventually reach all levels of society, including the poor.

The "Supply-Side" Economic Theory Embraced by President Ronald Reagan Called