Public Sector

What is a public sector organization?

• An organization that operates for profit

• An organization that charges for its services

• An organization owned by the government, local authority, or local council

• An organization owned by private individuals

Which of the following is NOT a public sector organization?

• The Army

• The NHS

• A private hospital

• The Police

How are public sector organizations financed?

• Through service charges

• Through taxation

• Through donations

• Through private investments

Who oversees the activities of public sector organizations?

• Private investors

• Elected officials such as MPs or MSPs

• Business owners

• Local community leaders

Who manages public sector organizations on a day-to-day basis?

• Elected officials

• Volunteers

• Private contractors

• Civil servants

What is public sector economic policy?

• Strategies to reduce government spending

• Plans to privatize public services

• Policies to increase private sector profits

• Measures to support the economy and help it prosper

What is fiscal policy?

• A policy to regulate international trade

• A strategy to control the money supply

• A set of measures to manage inflation

• A set of measures to influence economic performance through government spending and taxation

Which of the following is a fiscal measure?

• Regulating stock markets

• Setting an inflation target

• Managing interest rates

• Altering tax rates

What is the effect of increasing government spending on projects?

• It reduces unemployment

• It decreases inflation

• It reduces economic growth

• It increases taxation

What happens if the government cuts spending or increases taxation?

• It stimulates economic growth

• It draws money out of the economy

• It reduces unemployment

• It increases public sector wages