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

Supply-side policy — practice question

A government is confronting increasing inflation. It wants to bring down inflationary pressure without causing output to decline. Which action is most likely to satisfy its requirements?

  • Aan increase in laws to promote competition
  • Ban increase in taxation
  • Can increase in the budget surplus
  • Dan increase in the exchange rate

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