Economics 9708 · AS & A Level · Economic growth

Economic growth — practice question

In an economy operating below full employment, which combination would certainly lead to a rise in national income?

  • Aa fall in the rate of taxation together with a rise in the saving rate
  • Ba rise in government expenditure together with a fall in the propensity to import
  • Ca rise in investment expenditure together with a rise in the rate of taxation
  • Da rise in the propensity to save together with a rise in exports

Worked solution & mark scheme

This 1-mark question has a full step-by-step worked solution and mark scheme.

  • Full mark scheme, point by point
  • Step-by-step worked solution
  • Write your answer & get it marked instantly by AI