Which policy did Ronald Reagan advocate to improve the American economy?

Ronald Reagan advocated tax cuts as a central policy to improve the American economy, commonly referred to as "Reaganomics." The rationale behind this approach was based on supply-side economics, which posited that reducing taxes would encourage individuals and businesses to invest and spend more, thereby stimulating economic growth. The idea was that with more disposable income, consumers would increase their spending, and businesses would expand operations and create jobs, ultimately leading to greater overall economic prosperity.

Tax cuts were intended to both incentivize personal and corporate investments and to energize the economy after periods of stagnation and high inflation experienced in the late 1970s. This policy aimed to shift the economic climate from one of high taxation and regulation to one that fostered more growth and efficiency in the private sector.

In contrast, increasing government spending, higher tariffs on imports, and expanding social programs represent approaches that would not align with Reagan's economic strategies. Increasing government spending typically involves more government intervention in the economy, while higher tariffs could lead to trade conflicts and may not promote economic growth in the same way tax cuts are intended to do. Expanding social programs often requires higher taxes or government expenditure, which Reagan's policies sought to reduce, prioritizing minimal government influence in favor of free market