Which one of the following is an example of contractionary fiscal policy? A decision by the government to:
increase the standard rate of Value Added Tax (VAT)
reduce the main base rate of interest
increase its target rate of inflation
relax planning restrictions on house building
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.