Skip to main content
A-LevelEconomicsGovernment Macroeconomic InterventionMay/June 2018Paper 3 Q241 Mark

What is a part of Keynesian economic analysis? A a liquidity trap below which interest rates are ineffective B an equilibrium price that always clears the market C a small value for the government expenditure multiplier D a vertical short-run aggregate supply curve

✓ Correct Answer

The correct answer is . This question tests the candidate's understanding of government macroeconomic intervention within the Economicssyllabus. The examiner's mark scheme requires...

📋 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...

🔒

Unlock the Examiner's Answer

Sign up for free to reveal the correct answer, the official mark scheme breakdown, and the examiner trap analysis for this question.

Sign Up Free to Unlock →

Join thousands of Cambridge students already using Oracle Prep

About This A-Level Economics Question

This structured question appeared in the Cambridge A-Level Economics (9708) May/June 2018 examination, Paper 3 Variant 2. It tests the topic of Government Macroeconomic Intervention and is worth 1 mark.

Oracle Prep provides AI-powered practice for all Cambridge O-Level and A-Level subjects. Our platform includes topic predictions with 87.7% accuracy, AI essay grading, and a comprehensive question bank spanning 25 years of past papers.

© 2026 Oracle Prep — The AI-Powered Cambridge Exam Engine