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Edexcel A Level Economics A:復習筆記2.2.4 Government Expenditure (G)

Category: A-level課程, 教材筆記, 福利干貨 Date: 2022年9月27日 上午10:08

Influences on Government Expenditure

  • Government expenditure is influenced by the?trade/business cycle?and spending linked to achieving?policy aims
    • Government expenditure can happen on a?local level?(e.g., Kent County Council) or a?national level?(central government)

A Table Explaining the Influence of The Trade Cycle and Policy Aims on Government Expenditure

Influence of The Trade/Business Cycle Influence of Policy Aims
 

  • Unemployment?decreases with a booming economy leading to a lower level of?means tested benefit payments?-?and vice versa
  • Tax revenue?increases?with a booming economy and can be used to pay back?government debt?or increase expenditure on?public/merit goods?-?and vice versa
  

  • Fiscal Policy?is set once a year and announced during the presentation of the Government's budget
  • Expenditure?is?directly related?to the Government's objectives and?policy aims
  • E.g.,?A policy?aimed at upgrading Britain's Navy requires?increased expenditure

 

 

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