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AP US Government
Unit 4 – American Political Ideologies and Beliefs
Topic 4.9
What is a key ideological difference between Keynesian economics and supply-side economics regarding solving economic recession?
They both insist on reducing taxes for high-income earners as a solution to recession woes.
Keynesians argue for increased public spending during recessions; supply-siders advocate tax cuts to stimulate investment.
Both prioritize increasing taxes to fund governmental programs to counteract downturns.
Both ideologies focus on cutting public expenditure during economic downswings as a recovery strategy.
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AP US Government - 4.9 Ideology and Economic Policy
Key terms
Keynesian Economics
Supply-side Economics
Economic recession
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About Fiveable
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CCPA Privacy Policy
Resources
Cram Mode
AP Score Calculators
Study Guides
Practice Quizzes
Glossary
Crisis Text Line
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© 2024 Fiveable Inc. All rights reserved.
AP® and SAT® are trademarks registered by the College Board, which is not affiliated with, and does not endorse this website.
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