Which one of the following public sector transactions is classified as government capital expenditure on infrastructure?
interest payments made to institutional holders of government bonds
salary increases for secondary school teachers and support staff
an upgrade of regional flood defence barriers and drainage systems
a cost-of-living cash grant distributed to low-income households
12 exam-style questions on Edexcel A A Level Economics 2.2.4 Government expenditure (G). Each one has a worked solution and a mark scheme showing where the marks go.