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Economics · May / June 2026 · Paper 12 · Question 4

2281Government macroeconomic intervention

What would be classified by an economist as a macroeconomic aim?

  1. Aa government increasing the unit tax on petrol
  2. Ba central bank having an inflation target of 2%
  3. Ca monopoly increasing its profit target by 2%
  4. Da trade union increasing the living standards of its members

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Correct answer: B. a central bank having an inflation target of 2%

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