Regagonomics: Impact and Legacy This case highlights the use of supply side econ

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Regagonomics: Impact and Legacy
This case highlights the use of supply side economics and tax cuts. This ideology was referred to
as by George H.W. Bush as “voodoo economics.” The legacy, also touted in the recent Trump
administration, was known as “Trickle Down economics.”
Apply the assigned readings in weeks 1- 4 and the case facts to answer the following
questions raised by the case. Some outside research is also acceptable. Answer all 5 questions
and subparts separately. The paper should be a minimum of 7-10 pages. See the syllabus for
drafting instructions. Only the team presenting should prepare a power point presentation.
Question #1: As noted in the case, University of Chicago economist, Milton Friedman
advocated a flat tax. What is a flat tax?
How does a flat tax impact economic growth?
How is it different from Keynesian philosophy?
Question #2: President Reagan adopted supply side economics.
What is the supply side economic theory?
How do tax cuts facilitate supply side economics?

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