Government Objectives
1 Macroeconomic objectives
a) Economic growth.
b) Low and stable rate of inflation.
c) Low unemployment.
d) Balance of payments equilibrium on current account.
e) Balanced government budget.
f) Greater income equality.
2 Possible conflicts between macroeconomic objectives
a) Inflation and unemployment, including the short-run Phillips curve.
b) Economic growth and protection of the environment.
c) Inflation and equilibrium on the current account of the balance of payments.
d) Economic growth and income equality.
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