Supply side policies Flashcards
(4 cards)
1
Q
What is privatisation?
A
Selling state owned assets to the private sector as they are said to be more efficient.
2
Q
What is deregulation?
A
Remove barriers in order to make market more competitive. This tends to lead to lower prices and better quality of goods
3
Q
How to improve efficient of a business?
A
Privatisation Deregulation Reduce income tax Increase education Recuse trade union power Provide better information of jobs
4
Q
What do supply side policies do?
A
Increase output potential of the economy
