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Pachacha [2.7K]
3 years ago
5

Understanding Supply-Side Economics

History
1 answer:
Travka [436]3 years ago
5 0

Answer:

The correct order of events

a1) Taxes are lowered

a2) Consumers and investors have more money

a3) Businesses prosper

a4) Businesses expand

a5) The economy grows

Explanation:

Supply side economics is an economic theory that suggested that lowering the tax to corporate, government will help in create interest in investing more to industry that will help in enhancing productivity and create jobs and eliminate inflation by slashing down prices.

This idea is an enormous piece of Ronald Reagan's financial arrangements during his administration. This turns into a focal point of "Reaganomics." He utilizes this strategy to drive the American economy during his 8 years of presidency.

The correct order of events

a1) Taxes are lowered

a2) Consumers and investors have more money

a3) Businesses prosper

a4) Businesses expand

a5) The economy grows

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