Explain two benefits to the government that falling unemployment provides.

  1. There will be less unemployment benefits paid out by the government allowing them to spend this money elsewhere, such as improving infrastructure.
    2. Less people unemployed means the government is able to collect more income tax, leading to a reduction of the budget deficit.
GB
Answered by George B. Economics tutor

23062 Views

See similar Economics GCSE tutors

Related Economics GCSE answers

All answers ▸

Explain one possible effect on the equilibrium market price of an increase in production costs for firms


what is a monopoly?


What does consumer surplus mean?


Following a period of negative economic growth, explain how total government spending and tax revenues are likely to be affected.


We're here to help

contact us iconContact ustelephone icon+44 (0) 203 773 6020
Facebook logoInstagram logoLinkedIn logo

MyTutor is part of the IXL family of brands:

© 2026 by IXL Learning