Economics 2281 · O Level · The macroeconomic aims of government

The macroeconomic aims of government — practice question

In which situation is success by the government in reaching the first aim likely to create difficulties in reaching the second?

  • Afirst aim: full employment; second aim: price stability
  • Bfirst aim: high economic growth; second aim: full employment
  • Cfirst aim: price stability; second aim: stable balance of payments
  • Dfirst aim: stable balance of payments; second aim: more even distribution of income

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