Economics 9708 · AS & A Level · Monetary policy

Monetary policy — practice question

In what way would lower interest rates be most likely to cut unemployment?

  • Aby decreasing the borrowing costs of business
  • Bby decreasing the government’s budget deficit
  • Cby increasing the foreign exchange rate of the currency
  • Dby increasing the opportunity cost of spending

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