Evaluate impact of policies designed to reduce inequality

Reference no: EM131037628

Section A requires to chose only one questions 1,2 or 3 chose upon personal preference

SECTION A- Answer ONE question from this section.

1 (a) Assess possible reasons why the annual average growth rates of developing economies have been more than 4.5% higher than those of developed economies in recent years.

(b) To what extent is monetary policy the most effective way of stimulating economic growth? Refer to at least one example of a developed economy in your answer.

2 (a) In 2011, Germany recorded a trade in goods surplus of €146.1 billion whereas the USA recorded a trade in goods deficit of $737 billion and the UK a deficit of £99.7 billion. Assess the possible causes of such differences in trade balances.

(b) Evaluate means by which trade imbalances could be reduced.

3 (a) Assess the effect of globalisation on inequality in the world economy.

(b) Inequality within many developed countries is increasing. Evaluate the impact of policies designed to reduce inequality in a developed country of your choice.

Reference no: EM131037628

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