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Learning objective

Examine fiscal policy measures, including tax and spending changes that affect budget balance, and calculate budget deficits or surpluses.

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Cambridge IGCSE EconomicsGovernment and the macroeconomy

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Quick explanation

Examine fiscal policy measures, including tax and spending changes that affect budget balance, and calculate budget deficits or surpluses

  • This point belongs to Fiscal policy, especially Fiscal policy outcomes.
  • You need to be able to examine fiscal policy measures, including tax and spending changes that affect budget balance, and calculate budget deficits or surpluses.
  • The key ideas to know are Analyse and Calculate.
  • Use the linked flashcards and practice questions to check recall, then practise applying the idea in an exam-style answer.

Key concepts

AnalyseCalculate

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This objective helps connect Fiscal policy outcomes to exam-style questions, flashcards, and revision notes for Fiscal policy.

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Paper 2 structured question: Fiscal policy

Paper 2Structured Questions2 marks

Description

Fiscal Policy Changes

The government plans to increase taxes and reduce spending to balance the budget.

  1. a

    State two measures the government could take to improve its budget balance.

    Aim for approximately 2 distinct marking points.

    [2]
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Cambridge IGCSEEconomics resources