A-LevelEconomicsThe macroeconomy9708/12 · Oct/Nov 2016 · Q191 Mark

A government plans to increase spending on education and training every year. Which diagram shows the likely effect of this increase on the economy's long-run output and price level?

This question uses a diagram from the original paper, which isn't shown here. Open the full paper from the past papers archive to see it.

A[Diagram A]

B[Diagram B]

C[Diagram C]

D[Diagram D]

✓ Correct answer

C: [Diagram C]

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Topic: The macroeconomy, A-Level Economics (syllabus 9708). Multiple choice, 1 mark.
Source: A-Level Economics, Oct/Nov 2016 Paper 1 Variant 2, question 19.

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