Economics 9708 · AS & A Level · Government macroeconomic policy objectives

Government macroeconomic policy objectives — practice question

(a)[12]

Economic analysis states that the aims of the government include economic growth and economic efficiency. Explain in what ways achieving economic growth might clash with other macroeconomic aims of the government.

(b)[13]

Economic analysis states that the aims of the government include economic growth and economic efficiency. Is economic efficiency better achieved by the market mechanism rather than by government microeconomic policy?

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