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O-LevelEconomicsGovernment and the macroeconomy2281/12 · Oct/Nov 2015 · Q191 Mark

A government decided to increase its spending on building schools and hospitals. Which aim of government policy is most likely to be achieved by this increase?

Abalance of payments surplus
Bstronger exchange rate
Ceconomic growth
Dprice stability

✓ Correct answer

C: economic growth

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About this question

Topic
Government and the macroeconomy, O-Level Economics (syllabus 2281). Multiple choice, 1 mark.
Source
O-Level Economics, Oct/Nov 2015 Paper 1 Variant 2, question 19.

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