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The "supply side" economics of the Regan administration (1981-1988) presumed that income tax cuts would stimulate incentives to work and thereby increases economic growth. Demonstrate this outcome with work-leisure diagram. What does this outcome assume about the relative sizes of the income and substitution effects? describe "The predicted increase in work-incentives" associated with the supply-side tax cuts might in fact be more relevant for women than for men".

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