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A-LevelEconomicsGovernment macroeconomic intervention9708/12 · Oct/Nov 2021 · Q281 Mark

In 2012, the Indian Government stated that it aimed to reduce its budget deficit to 5.1% of GDP. Which policy is most likely to help this aim in the short run?

Adecrease in import tariffs
Bdecrease in the rate of interest
Can increase in the sale of state-owned assets
Dan increase in government pension payments

✓ Correct answer

C: an increase in the sale of state-owned assets

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About this question

Topic
Government macroeconomic intervention, A-Level Economics (syllabus 9708). Multiple choice, 1 mark.
Source
A-Level Economics, Oct/Nov 2021 Paper 1 Variant 2, question 28.

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