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Raising productive capacity

Raising productive capacity

Supply-side policies aim to increase the economy's productivity or productive capacity. Successful policies can shift both short-run aggregate supply, SRAS, and long-run aggregate supply, LRAS, to the right. This allows higher real output and can reduce the average price level, depending on aggregate demand and the size of the shifts.

5.4.3 tools of supply-side policy, for example training, infrastructure development, support for technological improvement Lesson

  1. Intl A Level
  2. /Economics
  3. /5.4.3 tools of supply-side policy, for example training, infrastructure development, support for technological improvement

Step-by-step lessons on CIE Intl A Level Economics 5.4.3 tools of supply-side policy, for example training, infrastructure development, support for technological improvement. Each one builds up to exam-style questions.

Lessons