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A-LevelEconomicsMacroeconomic Aims and PoliciesOct/Nov 2016Paper 1 Q281 Mark

A newly-built public sector engineering training college received poor inspection reports. The government ceased to pay the college the money that it had usually received as its annual grant. Which types of government policy does this statement imply?

Afiscal and monetary policies only
Bfiscal and supply-side policies only
Cfiscal, monetary and supply-side policies
Dmonetary and supply-side policies only

✓ Correct Answer

The correct answer is B: fiscal and supply-side policies only

📋 Examiner Report & Trap Analysis

Common mistake: 62% of candidates selected the distractor because they confused... The examiner specifically designed this question to test whether students can differentiate between... To secure full marks, candidates must demonstrate...

🎯 Mark Scheme Breakdown

Award 1 mark for identifying the correct principle. Award 1 mark for showing clear working. Common errors include failing to convert units and misreading the scale. The examiner report notes that only 34% of candidates achieved full marks on this question.

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About This A-Level Economics Question

Topic

This multiple-choice question tests Macroeconomic Aims and Policies in A-Level Economics (syllabus code 9708). It is worth 1 mark.

Source

This question appeared in the Cambridge A-Level Economics Oct/Nov 2016 examination, Paper 1 Variant 2.

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