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A-LevelEconomicsMacroeconomic PolicyMay/June 2019Paper 3 Q261 Mark

Under which conditions will a Keynesian expansionary fiscal policy be most likely to take an economy out of a recession without too much inflation? demand for money wage flexibility aggregate supply curve A interest elastic high price elastic B interest inelastic high price inelastic C interest elastic low price elastic D interest inelastic low price inelastic

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About This A-Level Economics Question

This structured question appeared in the Cambridge A-Level Economics (9708) May/June 2019 examination, Paper 3 Variant 1. It tests the topic of Macroeconomic Policy and is worth 1 mark.

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