If you simply write: "QE increases money supply." (1 mark) If you use the NSS framework: "QE involves the central bank purchasing government bonds from commercial banks. This increases banks' excess reserves, allowing them to make more loans, thereby expanding the money supply via the money multiplier effect, shifting AD to the right." (Full marks)
There are different types of economic systems, including: nss exploring economics 3 answer
NSS Exploring Economics 3 (3rd Edition) , published by , is a core module in the New Senior Secondary curriculum that bridges theoretical economic principles with practical, real-world applications. This volume specifically emphasizes Efficiency and Equity , focusing on the role of government in modern markets. www.mchip.net Core Topics Covered If you simply write: "QE increases money supply
: Distinguishing between non-excludable and non-rivalrous goods and identifying when free markets fail to provide them. Government Intervention Where to Access Answers Always define your terms,
— Exploring income inequality, the Gini coefficient, and redistribution through taxes and transfers. 2. Where to Access Answers
Always define your terms, state your assumptions, and draw the diagram (even if the question doesn't ask for it explicitly).