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2.6 Macroeconomic objectives and policies

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Question 4

To combat rapid overheating in the domestic economy, the Bank of England raised its bank rate from 0.75% to 3.00%.

Explain one likely impact of an increase in the official interest rate on the rate of inflation.

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Markscheme

2.6 Macroeconomic objectives and policies Questions

  1. A Level
  2. /Economics
  3. /2.6 Macroeconomic objectives and policies

52 exam-style questions on Edexcel A A Level Economics 2.6 Macroeconomic objectives and policies, covering 2.6.1 Possible macroeconomic objectives, 2.6.2 Demand-side policies, 2.6.3 Supply-side policies, and 2.6.4 Conflicts and trade-offs between objectives and policies. Each one has a worked solution and a mark scheme showing where the marks go.

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