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

22754 Views

See similar Economics GCSE tutors

Related Economics GCSE answers

All answers ▸

Explain why income tax in the UK is an example of progressive taxation.


Draw and label a diagram to show the effects on the equilibrium market position to show the effects of a hot sunny day on the market for ice creams.


What is the law of demand?


Explain how a fall in interest rates can affect total spending in the economy.


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:

© 2025 by IXL Learning