Question

Problems of government policy if it tries to use supply-oriented policies rather
than demand-oriented ones in trying to discourage the consumption of certain
products.​

Answer 1

Answer:

Many supply-side measures have a negative effect on the distribution of income, at least in the short-term. For example, lower taxes rates, reduced union power, and privatisation have all contributed to a widening of the gap between rich and poor.In general, demand-side policies aim to change the aggregate demand in the economy. Aggregate Demand is made up of Consumer Spending + Government Spending + Investment + Net Exports (exports-imports). ... Successful supply-side policies lower the natural rate of unemployment.