USA HISTORY

Detailed explanation-1: -The supply-side theory, or supply-side economics, holds that economic growth is stimulated through fiscal policies designed to increase the supply of goods and services. Trickle-down economics employs policies that include tax breaks and benefits for corporations and the wealthy that trickle down to benefit everyone.

Detailed explanation-2: -supply-side economics, also calledtrickle-down economics, theory that focuses on influencing the supply of labour and goods, using tax cuts and benefit cuts as incentives to work and produce goods. It was expounded by the U.S. economist Arthur Laffer (b. 1940) and implemented by Pres. Ronald Reagan in the 1980s.

Detailed explanation-3: -Milton Friedman stated, “Reaganomics had four simple principles: Lower marginal tax rates, less regulation, restrained government spending, noninflationary monetary policy. Though Reagan did not achieve all of his goals, he made good progress."

Detailed explanation-4: -The supply-side theory, or supply-side economics, is a macroeconomic concept that contends that increases in the supply of goods lead to economic growth. Supply-side economists argue that the government should increase production through tax cuts and reduced regulation.

Detailed explanation-5: -The supply-side economics calls for lowering government control, government spending, and de-emphasis on any fiscal targets. According to them, the greater stress is given for operating in the free market. The possible way to do so is to de-regulate the private sector by the government.