QCE EconomicsPractice Examination 17

This paper covers

• Income inequality and Gini coefficient measurement
• Redistributive fiscal policy — progressive taxation, transfer payments, government spending
• Federal budget stances and automatic stabilisers
• AD/AS model applied to fiscal stimulus and consolidation
• Trade-off between equitable income distribution and economic growth
• Crowding out and budget deficit/surplus effects
• Globalisation, structural unemployment and income distribution
• Current account deficit, net foreign liabilities and external stability
• RBA monetary policy transmission channels and interaction with fiscal policy
• Macroeconomic objectives and policy trade-offs in the Australian context

Students are permitted to bring into the examination the materials normally allowed for this subject. Answer all questions in the spaces provided.

This is an ATARMAxxing practice paper. It is not an official examination and is not affiliated with, endorsed by, or produced by the VCAA, NESA or the QCAA.