Which of the Following Policies Would Supply-Side Economists Favor

Multiple Choice

Which of the following policies would supply-side economists favor?

A) Lowering taxes to increase work effort and investment tax credits to stimulate investments
B) Lowering taxes to increase work effort and lowering interest rates to stimulate investment
C) Eliminating welfare programs to increase employment and investment tax credits to encourage firms to provide on-the-job training programs
D) Investment tax credits and increasing government spending on applied research to increase productivity