0455.4.3.9 — effects of fiscal policy on government How fiscal policy measures may enable the macroeconomic aims government to achieve its macroeconomic : past paper questions
Real questions on 0455.4.3.9 — effects of fiscal policy on government how fiscal policy measures may enable the macroeconomic aims government to achieve its macroeconomic
The newest 8 of 8 written questions. Open one to see it on the real paper.
- 0455/21 · May/June 2026 · Q1b[2]
Identify two reasons why the Uruguayan Government raised the retirement age.
See it on the paper → - 0455/21 · May/June 2025 · Q4d[8]
Discuss whether or not a decrease in government spending will reduce inflation.
See it on the paper → - 0455/22 · February/March 2024 · Q1e[4]
Analyse the relationship between government spending and GDP in Denmark.
See it on the paper → - 0455/22 · February/March 2024 · Q3c[6]
Analyse how fiscal policy can increase employment.
See it on the paper → - 0455/23 · October/November 2023 · Q1a[1]
Calculate Montenegro’s budget deficit as a percentage of its GDP.
See it on the paper → - 0455/22 · October/November 2022 · Q3c[6]
why a cut in government spending might increase poverty.
See it on the paper → - 0455/11 · October/November 2021 · Q17[1]
An economy is operating with all resources fully employed. Which would be an outcome of a significant increase in government expenditure?
See it on the paper → - 0455/21 · October/November 2021 · Q5d[8]
Discuss whether or not high government spending can help a government achieve its macroeconomic aims.
See it on the paper →
What examiners said
Better responses accessed this question effectively, showing the link between a fall in government expenditure and inflation. They often identified a fall in individual components of government expenditure and how this would affect demand pull or cost push inflation. Some candidates correctly identified cuts in components of government expenditure but then went on to discuss how this affects other...
— Examiner report, May/June 2025, 0455/21 Q4(d) (Cambridge)
This was well answered. There were some good links provided between, for example, lower welfare payments and ability to purchase basic necessities and between government subsidies and the prices that some poor consumers may have to pay.
— Examiner report, October/November 2022, 0455/22 Q3(c) (Cambridge)
The following candidate’s answer is a response that achieves level one (L1) but goes no further: High government spending can help the government achieve its macroeconomic aim, because they can spend the money in better workers (with good education) (L1) in subsidies to in order to encourage new firms to nationalise and go to the country. Although if the government spend more than that it can lea...
— Examiner report, October/November 2021, 0455/21 Q5(d) (Cambridge)
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