fiscal policy (1 Viewer)

[mibiony]

beside the short answer question 'Explain how a surplus budget could affect the level of inflation in an economy.' what other type of short answer questions could we get in the hsc? i mean i cant seem to find n e hsc type questions... or can any of u just make up some so i can just answer them cuz i realised how little i know about fiscal policy and i reckon it will be in the exam among everything else... and also, is it possible that they could ask us specific questions on the currenct fiscal policy stance? thanksss for u help

 

[Wild Dan Hibiki]

i too would also like to see some topic 4 short answer q's

 

[ToO LaZy ^*]

what are fiscal policys short term, medium term and long term goals? (3 marks)

*i'll add questions once the previous ones have been answered

 

[Wild Dan Hibiki]

short term - sustainable rate of economic growth?
medium term - balanced budget?
long term - external stability?

 

[ToO LaZy ^*]

explain how the 04/05 budget could effect income distribution with reference to specific policies (4 marks)

 

[Wild Dan Hibiki]

so was i like right?

 

[Wild Dan Hibiki]

spending on welfare and social security payments can help reduce income inequality..... i think

 

[Wild Dan Hibiki]

oh 4 marks... LOL
low income earners recieve benefits whereas high income earners get taxed, or something like that

 

[ToO LaZy ^*]

give me some detail...specific policies?
and analyse the question.."effects"..meaning both positive and negative
for Q1...um, yeah, that sounds about right..

 

[Wild Dan Hibiki]

oh wells im stumped

 

[ToO LaZy ^*]

answers could include the following:
- cutting income tax: the income thresholds at which the top 2 marginal tax rates apply will be raised significantly. this will allow more taxpayers to earn more before they start paying the top marginal taxrates
- more help for families: 'family tax benefit'. this has the obvious effect of increasing income for families with a $600 a year for each dependent child

these are the one just off the top of my head, there are probably more, but if you mention them and their effects you could get full marks easily

 

[Wild Dan Hibiki]

oooh that stuff

 

[mibiony]

is that because diposable income in the money after tax, by cutting those people are receiving more of their money back?
n e more questions?? could they ask us to write an essay on the budget on a specific issue do u's reckon??? i hope not otherwise there goes my exam!

 

[ToO LaZy ^*]

explain why the budget surplus is slowly diminishing.