Asked by Mirtha Sanchez on Apr 24, 2024
How did trickle-down economics claim to increase government tax revenues?
A) by increasing the amount of aid distributed among the poor
B) by lowering inflation
C) by the creation of a powerful welfare state
D) by lowering interest rates
E) by curbing inflation and lowering tax rates
Trickle-Down Economics
An economic theory suggesting that benefits given to the wealthy or businesses will eventually trickle down to everyone in the form of investments and jobs.
Tax Revenues
The income that is gained by governments through taxation, which is used to fund public expenditures.
- Describe the foundational economic concepts of policies like Reaganomics and their implications.
Learning Objectives
- Describe the foundational economic concepts of policies like Reaganomics and their implications.