Supply Side Policies

Question 1

Aim of supply side policies

Answer 1

To improve the LR productive potential of the economy
These can be either interventionist or free market

Question 2

Examples of a free market supply side policy

Answer 2

Lowering the tax rates
Deregulating or privatisation.

Question 3

Examples of an interventionist supply side

Question 4

Interventionist vs free market

Answer 4

Interventionist- investment into eg training/ education
Free market- effecting taxes, deregulation

Question 5

Aim of supply side polices

Answer 5

To improve the economy’s productive capacity