O-LevelEconomicsGovernment and the macroeconomy2281/11 · May/June 2013 · Q261 Mark
In the first six months of 2011 a construction company, Morgan Sindall, saw its profits fall. Part of the reason was the increased competition from foreign competitors. Which government policy is most likely to help such a company?
Aincreasing benefits to the unemployed
Bincreasing tax-free allowances on new building projects
Cputting a quota on imported raw materials used by the company
Draising interest rates
✓ Correct answer
B: increasing tax-free allowances on new building projects
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