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2.3 How the government manages the economy

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Question 42

Monetary policy in a country changes, but the total amount of money circulating in the economy stays the same.

Which change could explain this?

[1]
A

A change in government borrowing

B

A change in the rules on entering a market

C

A change in the base rate

D

A change in the number of pollution permits issued

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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