MCQs of Economics – Supply-Side Policies

A group of economists argue that the real problem with the economy is high rates of taxation and heavy regulation that reduce the incentives to work, save and invest. These economists are:

Which of the following would be considered a supply-side policy?

According to Supply-side economists. if taxes are cut so that people have an increased incentive to work and businesses have an increased incentive to invest:

According to supply-side economists, as tax rates are reduced, labour supply should increase. This implies that:

According to the Laffer curve, as tax rates increase tax revenue.

Reaganomics was a radical shift in policy aimed at directly tackling

New classical economists advocate reducing welfare payments to people who are unemployed or single parents. The economic reasoning used was that this would

Privatisation is the transfer of:

Which of the following statements supports deregulation of industries?

A way of helping depressed regions by having lower wages lower local taxes and lower unemployment benefit has been suggested as:

A way helping depressed regions by having wage subsidies lower business taxes and capital subsidies has been suggested as:

Interventionist policies to restore regional imbalance focus on:

The success of regional and urban policies has been limited by: