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Supply-Side Theory

What Does It Mean?
What Does Supply-Side Theory Mean?
An economic theory holding that bolstering an economy's ability to supply more goods is the most effective way to stimulate economic growth.
Investopedia Says
Investopedia explains Supply-Side Theory
Supply-side theorists advocate income tax reduction because it increases private investment in corporations, facilities, and equipment.
Related Links
  • Economics Basics - Learn economics principles such as the relationship of supply and demand, elasticity, utility, and more!
  • Laffer Curve Key To Ideal Tax Rate - Feel like the government always has its hand in your pocket? Learn the theory behind how it decides how much to take.
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