PAST PAPERRRRRSSSS Flashcards
1
Q
Comparative advantage definition (2)
A
Country can specialise in good they have CA in
Lower opportunity cost
2
Q
What is budget deficit
A
When government expenditure is greater than tax receipts in a fiscal year
3
Q
How does pound value eff t intrest rates (2)
A
Ask Mrs
But Google says: banks will increase intrest rates
4
Q
Financial sector role in development + growth (3+)
A
Facilitates savings
Micro finance
However: corruption + market failure (5)
5
Q
What is Harold Domar model (2)
A
Savings causes rate of growth to increase
See other FC for moreeeeeeee
6
Q
How do you calculate index No.
A
New price // base year price x 100
