A-LevelEconomicsGovernment macroeconomic intervention9708/12 · Feb/Mar 2019 · Q281 Mark

Which action might be part of an expansionary economic policy?

Areducing the budget deficit

Breducing the level of government spending

Creducing the money supply

Dreducing the rate of interest

✓ Correct answer

D: reducing the rate of interest

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Topic: Government macroeconomic intervention, A-Level Economics (syllabus 9708). Multiple choice, 1 mark.
Source: A-Level Economics, Feb/Mar 2019 Paper 1 Variant 2, question 28.

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