The EzyEducation website uses cookies to help ensure we give you the best experience.
If you continue without changing your settings, we assume that you are happy to receive all cookies on the EzyEducation website.
Please refer to our Privacy and Cookies Statement to

find out more.

Continue

Year 12 Recap - Supply Side Policy

Year 12 Recap - Supply Side Policy

This Year 12 Recap video covers the basics around the topic of supply side policies.

Supply side policies are policies designed to try and help increase the productive capacity of the economy over time. This can be achieved via policy initiatives aimed at improving the quality and/or quality of an economy's factors of production over time. These policies can be instigated by the government's spending plans as an indirect effect of fiscal policy or via the drive of the free market to capture higher profits. This is a prominent discussion point within exams as the UK has experienced a 'lost decade' of productivity since the financial crisis. The discussion around supply side policies and the effectiveness of them can provide an extremely useful talking point when looking at the productivity of an economy over time.  

Continue reading
  8138 Hits
  0 Comments

Year 12 Recap - Fiscal Policy

Year 12 Recap - Fiscal Policy

This Year 12 Recap video covers the basics around fiscal policy.

The government of any country has a responsibility and vested interest to ensure that the level of public infrastructure across the economy remains functional and competitive with the rest of the world. Fiscal policy reflects the means by which a government adjusts its spending levels to fulfill the infrastructure requirements of the country. However, this can only be done by raising revenue from levying taxes on the wider economy. The government must strike the right balance between catering for the instant needs of the current generation, without lumbering an infinite number of future generations with high taxes and debt levels. Fiscal policy is a topical issue in economics exam papers as the debate over austerity has gripped many European nations, as a result of the lingering shadow of the 2008 financial crisis. 

Continue reading
  6510 Hits
  0 Comments

Year 12 Recap - Monetary Policy

Year 12 Recap - Monetary Policy

This Year 12 Recap video covers the basics around the main economic policy used by central banks - monetary policy.

For any economy, macroeconomic stability is vital to ensure that economic activity and confidence levels across the economy remain high. One aspect of macroeconomic stability is maintaining price stability. The central bank's sole responsibility is to ensure that prices grow at a steady and sustainable pace to protect people's real incomes and living standards. The conventional approach used by the central bank is the manipulation of interest rates to keep inflation in line with their CPI target. In most macroeconomics exam papers, a question regarding the central bank's role of controlling inflation via a monetary policy is used and therefore students need to be well-prepared with the basic knowledge requirements of this conventional policy area to use alongside a relevant AD/AS diagram.

Continue reading
  5378 Hits
  0 Comments
Forgot your password?