Skip to main content

HomeGlossarySupply-side economics

Supply-side economics

Policy perspective stressing tax cuts, incentives, and supply constraints (labor, capital, regulation) rather than demand management alone.

Supply-siders claimed lower marginal tax rates could raise growth enough to limit revenue losses—an optimism economists still debate. Deregulation often travels in the same political coalition.

Relation to trickle-down rhetoric

Journalistic shorthand sometimes collapses supply-side and “trickle-down” claims; technical work focuses on elasticities and incidence.

← All glossary entries