If a supply-side economist were to make a suggestion to stimulate economic activity which of the following policies would she NOT suggest
A)An increase in the minimum wage
B)A repeal of regulations on business
C)A repeal of employer-mandated benefits
D)An elimination of the corporate income tax

Question

Quizplus · Accepted Answer

supply-side economists believe that increasing the minimum wage can lead to higher costs for businesses, which can then lead to lower employment levels and reduced economic growth. Therefore, they would not suggest an increase in the minimum wage as a way to stimulate economic activity.

If a Supply-Side Economist Were to Make a Suggestion to Stimulate