Supply-Side Policies

Which of the following supply-side policies is less likely to have demand-side effects? reducing unemployment benefits, reducing labour union power, provision of infrastructure, industrial policies

Privatization involves

The objective of supply-side policies is to:

Interventionist supply-side policies:

Which of the following are not market-based supply-side policies? policies to encourage competition, such as privatization and deregulation; labour market reforms, such as lowering minimum wages and reducing unemployment benefits; industrial policies, such as low interest loans, grants and subsidies; policies to change incentives facing economic decision-makers, such as reducing taxes

A drawback of most supply-side policies is that they:

Labour market reforms are unlikely to include which of the following measures? lower the minimum wage, reduce job security by making firing and hiring easier, reduce labour union power

Supply-side policies to encourage competition are unlikely to include which of the following measures? privatization, deregulation, anti-monopoly regulation, nationalization

Which of the following is unlikely to be among the advantages of interventionist supply-side policies? new job creation, support of key areas that are important for growth, such as human capital and R&D, creation of incentives for more work, downward pressure on inflation due to increase in LRAS

Which of the following is unlikely to be among the advantages of market-based supply-side policies?
- downward pressure on inflation due to increase in LRAS
- improved efficiency in production
- improved allocation of resources