Originally posted by Adam Smith
"Supply Side" has had two different meanings. Orignially it meant cutting taxes a la Arthur Laffer. But more recently both Democratic and Republican administrations have taken "Supply Side" to mean adopting policies which will make the economy more efficient and competitive. When these policies were adopted, prices fell. For example, deregulation of the US railroad inductry cut railroad rates by more than half. There are plenty of other examples.
"Supply Side" has had two different meanings. Orignially it meant cutting taxes a la Arthur Laffer. But more recently both Democratic and Republican administrations have taken "Supply Side" to mean adopting policies which will make the economy more efficient and competitive. When these policies were adopted, prices fell. For example, deregulation of the US railroad inductry cut railroad rates by more than half. There are plenty of other examples.
Comment