Economics GCSE
Incentives and disincentives
What Incentives and disincentives means in Economics GCSE, as defined for AQA.
Definition of Incentives and disincentives
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Reference: AQA
High taxation might disincentivise work and enterprise, and generous welfare benefits can create a poverty trap that discourages individuals from seeking employment.
Topics that use Incentives and disincentives
- Distribution of income (AQA GCSE)
Related terms
- Aggregate demand
- Asset accumulation
- Economic inequality
- Equity versus efficiency
- Government intervention
- Income inequality
- Labour markets
- Progressive taxation
Using Incentives and disincentives in the exam
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