THE RISE OF POLITICAL CONSERVATISM 1980 1992
THE ELECTION OF RONALD REAGAN IN 1980
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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You have to support the poor in society with welfare programs
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By helping the rich economically through lower taxes, the poor will also benefit
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Higher taxes will improve the lives of everyone
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Helping the rich doesn’t help the poor, but that doesn’t matter anyway
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Detailed explanation-1: -The concept of wealth creation by the private sector being essential to wealth distribution to the public is fundamental to the trickle-down theory in economics, which argues that benefits for the wealthy will “trickle down” to everyone else.
Detailed explanation-2: -Trickle-down economics is a term used in critical references to economic policies to say they disproportionately favor the upper end of the economic spectrum, i.e. wealthy investors and large corporations. In recent history, the term has been used broadly by critics of supply-side economics.
Detailed explanation-3: -The trickle-down theory goes that they’ll spend more money and create a greater demand for goods – which in turn will boost the labour market and create growth across industries like consumer goods, retail and even housing.
Detailed explanation-4: -Trickle-down economic theory states that benefits for the wealthy trickle down to everyone else in the economy. These benefits for the wealthy include tax cuts for dividends, capital gains, high-income earners, and businesses. Trickle-down economics assumes that company owners, savers, and investors drive growth.
Detailed explanation-5: -Back to Basics: The Theory The proponents of trickle-down economics, argues that rising incomes at the top end of the spectrum would lead to more jobs, more output, more income and less poverty as the growth and higher incomes at the top end will move at the lower end and to the poor.