Implementing policy (OCR A-Level Economics): Quizzes
📚Quizzes
Practise the questions
15 questions from this quiz
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Practise the questions
15 questions from this quiz
What does fiscal policy refer to?
What does fiscal policy refer to?
Use of government spending & tax to influence
What is a direct tax levied on?
What is a direct tax levied on?
Individual's income or wealth
What happens with indirect tax burden?
What happens with indirect tax burden?
Passed on to consumers via higher prices
How does a progressive tax rate behave?
How does a progressive tax rate behave?
Increases as taxable amount increases
What is the impact of regressive taxation?
What is the impact of regressive taxation?
Can increase income inequality
What characterises proportional tax?
What characterises proportional tax?
Tax rate remains constant
When does a budget deficit occur?
When does a budget deficit occur?
Expenditures exceed revenue
What is current government expenditure?
What is current government expenditure?
Day-to-day operations & services
What happens to cyclical budget during economic growth?
What happens to cyclical budget during economic growth?
Tax revenue rises, welfare spending falls
What is internal debt?
What is internal debt?
Money borrowed from domestic lenders
What defines discretionary fiscal policy?
What defines discretionary fiscal policy?
Deliberate legislative changes made
Which are examples of automatic stabilisers?
Which are examples of automatic stabilisers?
Unemployment benefits & progressive tax
How does crowding out occur?
How does crowding out occur?
Government borrowing raises interest rates
What does the Laffer curve illustrate?
What does the Laffer curve illustrate?
Tax rates & tax revenue relationship