Asked by Tabibur Rahman on Jun 14, 2024
Verified
Reaganomics initially produced what result in regard to the economy?
A) slow growth
B) severe recession
C) more government regulation
D) dramatic growth
E) no inflation
Reaganomics
Popular name for President Ronald Reagan’s philosophy of “supply side” economics, which combined tax cuts with an unregulated marketplace.
Severe Recession
An extended period of significant decline in economic activity across an economy, more intense and prolonged than a typical recession.
- Expound on the economic principles that inform policies like Reaganomics and their subsequent impacts.
Verified Answer
SJ
Selina JiangJun 15, 2024
Final Answer :
B
Explanation :
Reaganomics, characterized by tax cuts, deregulation, and reduced social spending, initially led to a severe recession in the early 1980s. This was marked by high unemployment and inflation rates before the economy began to recover.
Learning Objectives
- Expound on the economic principles that inform policies like Reaganomics and their subsequent impacts.