According to proponents of supply-side economics,
A) increasing government spending provides an incentive to invest in business expansion.
B) decreasing the supply of money reduces the federal deficit.
C) borrowing money decreases the risk of unemployment and recession.
D) cutting taxes leads to more incentive to save, work harder, and create more jobs.
E) increasing the supply of goods available for consumption lowers prices and reduces the inflation rate.
Answer: D
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