A government makes state pension payments to people who have retired.
Which purpose of government spending does this illustrate?
Building assets that will be used for many years
Funding services that markets would provide too little of
Supporting people whose incomes would otherwise be low
Paying workers to run public services each year
76 exam-style questions on OCR GCSE Economics 3.5 Fiscal policy, covering 3.5.1 Government spending and revenue, 3.5.2 Budget balance, surplus and deficit, 3.5.3 What is fiscal policy, 3.5.4 Calculate effects of taxes and spending, 3.5.5 Analyse effects of taxes and spending, 3.5.6 Costs and benefits of fiscal policy, and 3.5.7 Redistributing income and wealth. Each one has a worked solution and a mark scheme showing where the marks go.