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

Supply-side policy — practice question

A government cut the tax on company profits from 28% to 20%. Which statement best describes this policy?

  • AIt is both a contractionary fiscal policy and a supply-side policy.
  • BIt is both an expansionary fiscal policy and a supply-side policy.
  • CIt is both an expansionary fiscal policy and an expansionary monetary policy.
  • DIt is both an expansionary monetary policy and a supply-side policy.

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