Explain how varying the direct tax rate can alter the amount of tax paid in an economy and how might supply side policies be used to improve economic well-being

Part 2 Theme The labour market
Part 2 Q1
1a Define types of unemployment and inflation
1b Examine the relationship between unemployment and inflation during 2014/15

Part 2 Q2
2a Explain the difference between the employment rate and the unemployment rate.
2b To what extent do regional unemployment rates give a realistic picture of differences in economic activity in Britain?
Part 2 Q3
3a What is meant by a balance of payments deficit on the current account?
3b Consider the consequences of policies that seek to reduce a balance of payments deficit when starting from a position of a) relatively high inflation b) relatively high unemployment c) a poor country that imports a large amount of fuel
Part 2 Q4
4a Explain how varying the direct tax rate can alter the amount of tax paid in an economy
4b How might supply side policies be used to improve economic well-being

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