CAIE A-Level Economics 10.1 Government macroeconomic policy objectives Question Bank

Practise recognising government macroeconomic aims and judging when indicators show compatible or conflicting policy objectives.

Exam points

use indicator tables to judge which economy best meets macroeconomic policy aims

[Maximum number: 1]

The table gives some economic indicators for four countries.
Which country is closest to achieving the principal aims of government economic policy?

change in GDP
(\%)

rate of inflation
(\%)

unemployment
(\%)

balance of
payments
(\% of GDP)

0.47

0.8

3.4

+3.3

1.13

0.9

10.5

-0.1

1.18

1.1

6.9

-3.3

1.45

0.1

4.6

+8.5

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