Practise recognising government macroeconomic aims and judging when indicators show compatible or conflicting policy objectives.
The table gives some economic indicators for four countries.
Which country is closest to achieving the principal aims of government economic policy?
change in GDP
(\%)
rate of inflation
(\%)
unemployment
(\%)
balance of
payments
(\% of GDP)
0.47
0.8
3.4
+3.3
1.13
0.9
10.5
-0.1
1.18
1.1
6.9
-3.3
1.45
0.1
4.6
+8.5
D
What is a government macroeconomic aim?
a fall in the general price level of goods and services
an increase in monopoly regulation
lower taxes on consumer goods
a minimum wage for low paid agricultural workers
A