Unit 3.7 · Supply-side Policies
Interventionist Policies
AO2
Syllabus Requirement
Government investment in education, health, infrastructure, R&D, and strategic industry support.
Assessment Objectives
AO2Application and Analysis
Summary
Interventionist policies involve government actions aimed at correcting market failures and enhancing productivity. These policies contrast with market-based approaches, which focus on reducing barriers and improving incentives to boost aggregate supply in the economy.