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4.5.4 Macroeconomic policies in a global context

How can fiscal policy influence the economy?

A

Fiscal policy uses interest rates and the money supply to influence demand and inflation.

B

Fiscal policy uses government spending and taxation to influence demand and the public finances.

C

Fiscal policy raises productivity and the economy’s productive capacity.

D

Fiscal policy influences the currency’s value to affect trade and competitiveness.

4.5.4 Macroeconomic policies in a global context Flashcards

  1. A Level
  2. /Economics
  3. /4.5.4 Macroeconomic policies in a global context

Flashcards for Edexcel A A Level Economics 4.5.4 Macroeconomic policies in a global context, covering the key terms, economic models and case studies you need to recall for Paper 1, Paper 2 and Paper 3. 30 cards, matched to the Edexcel A A Level Economics (9EC0) specification.