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Economics · Oct / Nov 2022 · Paper 13 · Question 17

2281Fiscal policy

A government decides to use a fiscal policy measure. What is an example of this?

  1. Aincreasing the exchange rate
  2. Breducing the power of trade unions
  3. Creducing the rate of corporation tax
  4. Dsetting a low interest rate

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Correct answer: C. reducing the rate of corporation tax

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