Sun	Mon	Tue	Wed	Thu	Fri	Sat
23	24	25	26	27	28	1
2	3	4	5	6	7	8
9	10	11	12	13	14	15
16	17	18	19	20	21	22
23	24	25	26	27	28	29
30	31	1	2	3	4	5

Back to Main Page

Multiple Choice Questions

Ronald Reagan the 40th President of the US signed the largest tax cut in the history of their countr...........

General Studies (MTS) Indian Polity

Ronald Reagan, the 40th President of the US, signed the largest tax cut in the history of their country in 1981. Which economic

theory was this policy centred around?

This questions was previously asked in

SSC MTS 6th October 2021 Shift-3

View All SSCMTS Previous Year Papers

Laffer Curve

Lorenz Curve

Kuznets Curve

Sweezy's Kinked Demand Curve

छोटे Courses बड़े Results

Master Indian Polity

Prepare through Micro-courses

Try Now

Explanation:

- Option 1: Laffer Curve

- The Laffer Curve illustrates a theoretical relationship between tax rates and tax revenue. It suggests that cutting taxes could, in certain cases, spur economic activity and thus increase total tax revenue, which is the logic behind Reagan's tax cuts.

- Option 2: Lorenz Curve

- The Lorenz Curve is a graphical representation used to show the distribution of income or wealth. It’s unrelated to tax cuts or Reagan’s economic policies.

- Option 3: Kuznets Curve

- The Kuznets Curve describes the relationship between economic development and income inequality. It’s not connected to Reagan’s tax policy.

- Option 4: Sweezy’s Kinked Demand Curve

- This theory relates to oligopoly pricing strategies and not tax policy.

Report error