1. Creating GDP Growth
Supply Side Economics

3. Economists often Disagree
Are tax cuts good or bad?
Do Large Deficits always raise interest rates?
Will taxing “rich” people significantly lower GDP?
The answer to most economic questions is:
IT DEPENDS!

4. GDP What creates Economic Growth? INCENTIVES MATTER!!! GDP GDP
Classical, Keyensian and Supply Side Economists approach the same economic problems in different ways!

5. How Innovation Drives Economic Growth
U.S.PPF Graph
Bloom Energy
Harlem Children’s Zone

6. Supply-Side Policy Goal: use incentives to encourage new business!
Basic Belief: Government Incentives Matter
Goal: use incentives to encourage new business!
shift the aggregate supply curve right
when PPF shifts right => AS shifts right
The supply-side toolbox consists of:
Tax cuts to stimulate work, saving, and investment (I↑)
Incentives on education training/research expands capacity to produce

7. Crash Course Econ Video
(10 minutes) start at 3 minutes

8. Movies on Education Reform