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2.5 Fiscal policy and supply-side policies

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Question 99

Which one of the following is a correct statement relating to supply-side improvements in an economy?

Supply-side improvements

A

can occur through private sector innovation and investment without direct government intervention.

B

are designed to reduce the productive potential of the economy.

C

rely primarily on the manipulation of interest rates to control aggregate demand.

D

aim exclusively at achieving a surplus on the current account of the balance of payments.

Markscheme

2.5 Fiscal policy and supply-side policies Questions

  1. A Level
  2. /Economics
  3. /2.5 Fiscal policy and supply-side policies

245 exam-style questions on AQA A Level Economics 2.5 Fiscal policy and supply-side policies, covering 2.5.1 Fiscal policy and 2.5.2 Supply-side policies. Each one has a worked solution and a mark scheme showing where the marks go.

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