(a)[4]
Identify from the article one example, other than expansionary monetary policy, of a macroeconomic policy tool that a government could use and analyse how it might affect the economy.
(b)[4]
Explain two merits of using a cost-benefit analysis before starting a major investment project in the public sector.
(c)[5]
Consider whether the information provides any evidence that a high GDP also means the population’s well-being is higher.
(d)[7]
Use the article to consider why there are different views about the level at which central bank interest rates should be set.