Contractionary fiscal policy is most likely to
shift the long-run aggregate supply curve to the right.
result from an increase in the central bank's base interest rate.
cause a rapid increase in the rate of demand-pull inflation.
shift the aggregate demand curve to the left.
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.