Economics 9708 · AS & A Level · Long-run costs and economies of scale

Long-run costs and economies of scale — practice question

Which statement about unemployment benefits provided by a government is not valid?

  • AThey allow firms to dismiss workers as unemployment benefits provide support to unemployed workers.
  • BThey force firms to raise wages to encourage workers to work rather than relying on unemployment benefits.
  • CThey provide a safety net to workers which might reduce their efforts to find a suitable job.
  • DThey increase government spending and force it to raise taxes.

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