Intellectual origins based on the writings of classical economists Adam Smith and David Hume. Jean-Baptiste Say (17671832), in his ATreatiseon PoliticalEconomy, came up with Say’s Law, which has been interpreted as “supply creates its own demand”. The Chicago school of economists including Nobel laureate Ronald Coase and, more famously, Milton Friedman, challenged the then Keynesian orthodoxy of demand management policies that influenced much of the thinking of Western governments. They argued that governments should let free markets operate and that their only role was to control money supply, hence the term monetarist. There is debate about whether the term supply-side economics was first used by the journalist Jude Wanninski or by Herbert Stein, a former economic adviser to president Richard Nixon. While teaching in California, economist Arthur Laffer developed his theory, later known as the Laffer Curve, which illustrated that tax revenues could fall if tax rates rose above a certain point. His work proved highly influential in the development of Reaganomics. Reaganomics. Ronald Reagan was elected in 1980 and pursued a tax-cutting and deregulation agenda that was largely built on a new supply-side and monetarist approach. Thatcherism. British Prime Minister Margaret Thatcher was influenced by Austrian economist Friedrich Hayek, who was not a fan of modern supply-side economics. Nonetheless, her curbing of trade union powers and privatization of nationalized industries are seen as significant supply-side measures.