A government wishing to reduce aggregate demand to curb inflation through the use of fiscal policy would be most likely to
increase the main policy interest rate.
increase the size of the budget surplus.
reduce rates of income tax.
sell government bonds to decrease the money supply.
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.