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A-LevelEconomicsBasic economic ideas and resource allocation9708/12 · May/June 2021 · Q41 Mark

Which statement would be classified by an economist as a positive statement?

ABalancing the budget cannot be more important than reducing inflation.
BMaintaining the real income of pensioners needs to be a priority.
CThe government should increase indirect taxation.
DThe government will not increase direct taxation.

✓ Correct answer

D: The government will not increase direct taxation.

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About this question

Topic
Basic economic ideas and resource allocation, A-Level Economics (syllabus 9708). Multiple choice, 1 mark.
Source
A-Level Economics, May/June 2021 Paper 1 Variant 2, question 4.

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