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2.3 How the government manages the economy

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Question 25

The government pays pharmacies a subsidy for each flu vaccination they give to adults.

Which statement best describes the likely effect of the subsidy?

[1]
A

The price of a vaccination falls, more adults are vaccinated but only the vaccinated adults benefit

B

The price of a vaccination rises, fewer adults are vaccinated and third parties suffer as more flu spreads

C

The price of a vaccination stays the same, as pharmacies keep the subsidy, so vaccination numbers are unchanged

D

The price of a vaccination falls, more adults are vaccinated and third parties benefit as less flu spreads

Markscheme

2.3 How the government manages the economy Questions

  1. GCSE
  2. /Economics
  3. /2.3 How the government manages the economy

104 exam-style questions on AQA GCSE Economics 2.3 How the government manages the economy, covering 2.3.1a Fiscal policy and income and expenditure, 2.3.1b Fiscal policy and government objectives, 2.3.1c The government budget, 2.3.2a The meaning of monetary policy, 2.3.2b Uses of monetary policy, 2.3.3a Supply-side policies and their trade-offs, 2.3.3b Using supply-side policies, and 2.3.4 Policies to correct positive and negative externalities. Each one has a worked solution and a mark scheme showing where the marks go.

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