Most Economists Have Reached the Following Conclusion About Supply-Side Economics

question 134

Multiple Choice

Most economists have reached the following conclusion about supply-side economics.

• A)Supply-side tax cuts are likely to reduce income inequality.
• B)Supply-side tax cuts are almost certain to lead to smaller budget deficits.
• C)Supply-side tax cuts are likely to widen income inequality.
• D)None of these.

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Definitions:

Capital

A resource that can serve to generate wealth, such as factories, equipment, investment accounts, software, land, and education.

Gross Domestic Product Per Capita

A measure of a country's economic output that accounts for its number of people, essentially the average economic output per person.

Net National Income Per Capita

A measure that represents the total income of a nation divided by its population, indicating the average income per person.

Gross National Income Per Capita

The total domestic and foreign output claimed by residents of a country, divided by the population of the country.