THE RISE OF POLITICAL CONSERVATISM 1980 1992
REAGANOMICS
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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What was the main purpose of the Reagan tax cuts?
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increase defense spending
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raise interest rates
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increase consumer spending
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tackle unemployment
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Explanation:
Detailed explanation-1: -Reagan enacted lower marginal tax rates as well as simplified income tax codes and continued deregulation. During Reagan’s eight year presidency, the annual deficits averaged 4.0% of GDP, compared to a 2.2% average during the preceding eight years.
Detailed explanation-2: -President Ronald Regan was a staunch believer in supply-side economics, resulting in the name “Reaganomics.” It is also known as trickle-down economics. The intended goal of supply-side economics is to explain macroeconomic occurrences in an economy and offer policies for stable economic growth.
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