Question

According to Reagan’s model for supply-side economics, how would average Americans be affected?
Tax increases for business owners would reduce the income of the wealthy, so the average person would have more.
Tax cuts would mean that businesses would become more efficient and workers would lose their jobs.
Tax increases would mean that businesses would have less wealth and would produce less for consumers.
Tax cuts would stimulate business growth, which would grow the economy and benefit everyone.

Answer 1

"Tax cuts would stimulate business growth, which would grow the economy and benefit everyone."

Reagan's supply-side view held that lower taxes and reduced regulation would spur investment and production, expanding the economy and raising incomes broadly (the "trickle-down" argument).