According to advocates of supply-side economics, an increase in savings and investments by the upper classes and corporations would lead to which of the following?

A) An economic recession resulting from the withdrawal of money from circulation
B) The revival of heavy industry in the United States
C) A proliferation of small businesses that would increase competition within the economic system
D) Renewed prosperity as profits from the top trickled down to the middle and lower classes

Supply-side Economics

An economic theory that argues reducing taxes and regulations for businesses and the wealthy will stimulate investment in the short term and benefit society at large in the long term.

Economic Recession

A period of significant decline in economic activity across the economy that lasts for months or years, marked by drops in GDP, income, employment, and trade.

Prosperity

A state of economic well-being and success, marked by financial stability, growth, and the abundance of goods and services.