Expenditure-switching policies
What Expenditure-switching policies means in Economics A-Level, as defined for AQA.
Definitions of Expenditure-switching policies
Exam boards and our study guides word this term in slightly different ways. Learn the version your board uses.
Check what you remember
Read the wording for your board, then hide it and explain Expenditure-switching policies in your own words. Rough notes are fine. This is a self-check, with no mark or grade.
Reference: AQA
Measures that change the relative prices of domestic and foreign goods, encouraging consumers to switch spending away from imports towards domestic alternatives.
Policies, such as currency depreciation, that change the relative prices of domestic versus foreign goods to improve a deficit.
Policies such as tariffs that target imports specifically rather than overall demand management.
Topics that use Expenditure-switching policies
- The balance of payments (AQA A-Level)
Related terms
- Balance of payments
- Capital account
- Competitiveness
- Current account
- Current account deficit
- Exchange rates
- Expenditure-reducing policies
- Financial account
Using Expenditure-switching policies in the exam
Check the command word and mark scheme for your exact question. After comparing your explanation with the reference, use the term in an answer on the linked topic. This practice does not predict an exam mark.
Practise Economics questions
Create a free account to answer exam-style questions on this topic and get feedback on your answers.
A week of Premium from your first lesson · Then the free plan continues · No card, no charge