PPSCFPSCNTSPakistan govt jobs
- Subject
- Labour Marketeconomics-mcqs › labour-market
- Published
- 1 Jun 2019
- Last updated
- 28 May 2026
Which economic issue is best addressed by supply-side policies?
Multiple choice question for Labour Market. Select an option, then review the explanation below.
Explanation
Supply-side policies are designed to improve production and efficiency rather than directly increase demand. Therefore, they are less effective in addressing a drop in aggregate demand, which is typically managed through demand-side policies.
More Labour Market MCQs
Practice related questions from the same subject.
- 1.How do unions typically contribute to widening the wage gap between union members and non-union workers?
- 2.Under which circumstance can unions enhance efficiency?
- 3.Which of the following reasons explains why companies might choose to pay efficiency wages?
- 4.Which of the following government actions is least likely to decrease the unemployment rate?
- 5.What happens if the wage rate is set above the competitive equilibrium wage for any reason?