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Economic management — Question 1

QCAA 2020, Paper 1 · 1 mark

Q1 · 2020 · External assessmentUnclassified1 mark

QUESTION 1

In a situation where monetary policy is changed, the transmission mechanism will depend on

(A) changes to the structure of the economy over time.

(B) asset and wealth values of high-income households.

(C) the substitutability of imports and domestic goods and services.

(D) whether households and firms respond by saving more now or later.

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