A-LevelEconomicsGovernment macroeconomic intervention9708/12 · Feb/Mar 2018 · Q171 Mark
Which statement about transfer payments is correct?
ATransfer payments are intended to reward productive economic activity.
BTransfer payments are only financed by government.
CTransfer payments may result in a disincentive to work.
DTransfer payments will include the sales of new cars.
✓ Correct answer
C: Transfer payments may result in a disincentive to work.
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