IG ECONOMICS 真题实战演练

今日知识点

IG-ECONOMICS Economic growth

例题

答案及详解

The correct answer is C.

In option A, an increase in bank lending would increase consumption and investment thus lead to economic growth.

In option B, a lower interest would decrease the cost of borrowing and reward for saving, which encourage consumer and enterprise to borrow more and save less, which leads to increase in consumption and investment will boost economic growth.

In option C, an increase in sales tax will shift aggregate supply curve leftward which increase the price level and decrease real output, thus the economic growth will decrease. So C is the correct answer.

In option D, an increase in government spending in subsidising new industries would shift aggreagte demand curve rightward, which increase economic growth.