Note AcademyNote Academy
Start

Economics · May / June 2023 · Paper 11 · Question 18

2281Monetary policy

Government policy measures can affect economic activity in a country. Which pair of monetary policy measures would be likely to increase employment?

  1. Adepreciate foreign exchange rates and increase education spending
  2. Bincrease money supply and reduce interest rates
  3. Cprovide subsidies and grants and lower sales tax
  4. Dreduce income tax and improve infrastructure

As printed in the paper

Show the answer

Correct answer: B. increase money supply and reduce interest rates

Sit this whole paper →More on Monetary policy

Make a free account to save your answers and see your weak topics and ask the AI why a wrong answer is wrong.