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2.5.2 Supply-side policies

How does a supply-side policy differ from a supply-side improvement?

A
  • A policy is a fall in aggregate demand.
  • An improvement is a rise in the price level.
  • Improvements can result only from higher government spending.
B
  • A policy is any private-sector decision.
  • An improvement is government intervention in markets.
  • Improvements can only result from changes in taxation.
C
  • A policy is deliberate government intervention.
  • An improvement is any actual gain in productive potential.
  • Improvements can result from private-sector action or new technology.
D
  • A policy is any increase in productive potential.
  • An improvement is deliberate government intervention.
  • Improvements can result only from public-sector action.

2.5.2 Supply-side policies Flashcards

  1. A Level
  2. /Economics
  3. /2.5.2 Supply-side policies

Flashcards for AQA A Level Economics 2.5.2 Supply-side policies, covering the key terms, economic models and case studies you need to recall for Paper 1, Paper 2 and Paper 3. 22 cards, matched to the AQA A Level Economics (7136) specification.