A Level Economics (9708)•9708/11/O/N/19

Explanation
Addressing intergenerational inequity via youth support
Steps:
- Identify the imbalance: government policy benefits older people (e.g., pensions) over younger ones (e.g., limited opportunities).
- Evaluate options for actions that directly aid younger people without further favoring the elderly.
- Assess impact: seek policies enhancing youth employability and skills to balance resource allocation.
- Select the option promoting long-term equity through investment in the young workforce.
Why B is correct:
- Subsidized training for school-leavers builds human capital for youth, countering elder favoritism per economic theory of intergenerational equity, which emphasizes fair resource distribution across age groups.
Why the others are wrong:
- A: Boosts pensions, directly benefiting older people and worsening the imbalance.
- C: Raises taxes on workers' incomes, burdening young earners without targeted youth relief.
- D: Higher savings interest aids retirees with accumulated wealth, favoring older savers.
Final answer: B
Topic: Equity and redistribution of income and wealth
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