The idea that tax cuts would increase the quantity of labor supplied, thus increasing tax revenue, became known as supply-side economics.

Name: The idea that tax cuts would increase the quantity of labor supplied, thus increasing tax revenue, became known as supply-side economics.
Brand: Quizplus
Rating: 4.9 (40 reviews)

Question

Quizplus · Accepted Answer

Supply-side economics posits that reducing tax rates stimulates economic activity enough to eventually lead to higher tax revenues due to increased earnings and consumption.

The Idea That Tax Cuts Would Increase the Quantity of Labor