Which of the following describes supply-side policies?

Supply-side policies are primarily aimed at increasing the economy's productive capacity by enhancing the factors that contribute to production. This includes measures that improve the efficiency of labor and capital, such as investment in education and training, reducing regulation that restricts business activities, and investing in infrastructure. By doing so, these policies target improvements in productivity, which can lead to economic growth and job creation in the long term.

The other options focus on different aspects of economic policy. Reducing taxation on workers may incentivize labor supply but does not necessarily enhance the overall productive capability of the economy. Regulating consumer credit primarily addresses consumer behavior and financial stability rather than supply-side constraints. Lastly, directly targeting inflation involves monetary policy more than supply-side strategies, which focus on production aspects. Thus, the emphasis in supply-side policies on boosting production potential distinctly aligns with the chosen answer.