Edexcel IGCSE Economics 2.1.3.a impact of policies and trade-offs
Practise policy-trade-off questions by linking unemployment, inflation, growth and environmental protection in data-rich examples.
- Syllabus
- First assessment 2019
- Course
- Economics 4EC1
Exam points
- Link falling unemployment to higher incomes, consumer spending and inflationary pressure.
- Explain how environmental restrictions can reduce output or jobs in affected industries.
- State trade-offs involving inflation, unemployment, growth or the current account.
2.1.3.a Macroeconomic policy trade-offs question 1
[Maximum number: 1]
What is likely to happen if a government successfully reduces unemployment?
A
Inflation might rise as more people have money to spend
B
More people working leads to lower overall economic growth
C
Inflation decreases because people have less money to spend
D
Government spending on benefits would increase
A
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