An economy is experiencing both high structural unemployment due to a mismatch of skills and a significant short-run demand deficit. All other things being equal, which combination of policies is most likely to address both problems simultaneously?
Raising the national insurance contribution rate for employers and implementing quantitative tightening
A reduction in the personal income tax allowance and an increase in the central bank's policy interest rate
Increased government funding for specialized vocational retraining programs and a reduction in the standard rate of value-added tax (VAT)
Imposing stricter quotas on high-skilled migration and increasing the corporate tax rate
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.