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Economics (AS & A Level) · May / June 2026 · Paper 12 · Question 21

9708Supply-side policy

What is the main objective of supply-side policies?

  1. Ato bring a country's potential output up to the level of its actual output
  2. Bto ensure a budget surplus
  3. Cto ensure that the composition of output matches the pattern of demand
  4. Dto increase potential output

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Correct answer: D. to increase potential output

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