Economics 9708 · AS & A Level · Supply-side policy

Supply-side policy — practice question

The diagram presents Lorenz curves for a developed economy. Which combination of supply-side policies would move the Lorenz curve from X to Y?

  • Atop rate of income tax increase; education free; national minimum wage increase
  • Btop rate of income tax increase; education students pay; national minimum wage abolish
  • Ctop rate of income tax reduce; education free; national minimum wage abolish
  • Dtop rate of income tax reduce; education students pay; national minimum wage increase

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