Describe and explain one supply-side policy aimed at shifting the long run aggregate supply curve.

One example of a supply-side policy is education and training. The government could increase spending on schools to improving teaching, increase and improve learning resources or create more internship programmes. All of this would help to increase the productive capacity of the economy which would then cause the long run aggregate supply curve to shift outwards.  

OS

Related Economics A Level answers

All answers ▸

Evaluate whether monetary policy is the best method of reducing inflation.


Are there any minuses to economic growth?


Explain the factors influencing short run and long run aggregate supply


Discuss‘looserfiscalpolicy’and‘supply-sidereforms’ that may be used by governments of Eurozone countries to increase economic growth.