eibhlin18
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Discuss the extent to which short-run economic growth benefits an economy [20 marks]
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username3661036
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Use the life cycle example.

For example- lowering taxes for country’s means more households spending money. This in turn means more money for consumers to spend on businesses, businesses then have more money to expand and employ staff. More employment means more money for household staff. Cycle rotates.
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dcencima
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im not sure if this is AS or A2 but for me answering as a AS aqa student i would link to how when economy experiences short term entrepreneurial culture meaning more sme's start up so this helps also in long term as tax revenue for gov goes up also for short term growth as its actual growth we can use the growth graph saying how short term growth still boosts economy and with short term growth output y still increases so foreign firms choose to stay in uk as the growth helps AD as with more supply and demand for firms ad will go up and consumption is a component of demand hope any of this helps lol i tried
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TaraMott
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1) Increased business confidence about the future economic growth rate and prospects of a country = could potentially lead to increased employment opportunities = increased AD = growth cycle

2) Decreased unemployment = decreased benefit spending (JSA) for the government so they can spend funds elsewhere e.g. education, NHS..... = benefit to the public sector (services)

You could put a lot of these into separate paragraphs or into 2 big paragraphs. Just remember the chain of analysis because in economics one thing can relate to 40 other things.

Evaluate with:

1) increased inequality, economic growth benefits some more than others

2) Business confidence could still be low due to other factors e.g. brexit due to uncertainty so employment wont increase as jobs won't necessarily increase. (SR growth insignificant)
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