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It is ncessary to understand the rudiments of supply side theory before you attempt to defend it. I recommend the following website for background reading:

www.polycomics.com

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The white papers on this site are somewhat technical so a brief summary of the ideas involved would be appropriate here. In the broadest sense supply side economics repudiates key tenets of the Keynesian economic theory which government policymakers had adhered to during most of the post-WWII era. The Keynesian theory focused on stimulating consumer buying power through the manipulation of the money supply and government fiscal policy. Adherence to Keynesian theory was re-examined when Keynesian policy mechanisms failed to revive the sputtering US economy during the late 1970s.

Supply side economics is founded upon a couple of basic economic truths:

Big Economic truth #1

Raising tax rates above a certain level
DECREASES net revenues to the Government.

The truth of economic truth #1 has been demonstrated scores of times by Congressional Budget Office projections that predicted net increases to Government revenues from tax increases that actually resulted in decreases to Government revenues when the increase in taxes were implemented. This happens because most tax increase DECREASE the rate of economic growth which ultimately hurts revenues to the Treasury.

If you make this basic point about supply side economics you will inevitably be hit with the accusation that "Regan caused huge deficits with his tax cuts; this assertion is Liberal Big Economic lie #1:

Big Liberal Economic Lie #1

As Supply Side theory indicated Regan's tax cuts which brought the top individual tax rate from 70% of income to 28% of income caused revenues to the Tresury to SURGE. Under Regan in the 1980s Government revenues doubled. This windfall was squandered by a Democratically controlled Congress that recklessly increased spending on domestic programs. Regan cut taxes and the ecomic growth rate WENT UP, just as theory predicted. Reagn also submitted 8 BALACED BUDGETS to the profligate Democrtic Congress which they assiduously ignored.

Similarly in the 1990s when the Republicans gained control of Congress they CUT TAXES after Clinton had raised them in 1993. When discussing the 1990s economy you are also likely to encounter Big Liberal Economic Lie #2:

Big Liberal Economic Lie #2

Big Liberal Economic Lie #2 asserts that Clinton caused the 1990s boom by raising taxes in 1993 thereby lowering long term interest rates. In actual fact, however, when Clinton raised taxes in 1993 the stock market lost 20% of its value, LONG TERM INTEREST RATES WENT UP, and the economic growth rate declined. This turn of events is again exactly what the supply side theory have predicted.

This leads us to what actually caused the 1990s boom: the expansion of productive capacity in the economy through the establishment of incentives for producers. This idea describes Supply Side Economic Idea #2:

Big Economic Truth #2

Non-inflationary growth is caused by creating positive incentives to increase the productive capacity of the economy. All other factors being equal incentives for producers are more important than interest rates or other economic factors in creating economic growth. Without production the economiy will collapse.

Good luck with your class and don't let the liberals in it rewrite history.