Economic Objectives

Question 1

The economic policy objectives of the Australian government include:

Answer 1

• Sustainable economic growth
• Low inflation (price stability)
• Low unemployment (full employment)
• A more equitable distribution of income
• The efficient allocation of resources

Question 2

The economic policy objectives of the Reserve Bank of Australia (RBA)

Answer 2

• Price stability
• Full employment
• Economic prosperity and welfare

Question 3

Compatible economic policy objectives include

Answer 3

Economic growth and full employment

Full employment and equitable distribution of income

Price stability and economic growth

Efficient resource allocation, productivity and economic growth

Question 4

Conflicting economic policy objectives

Answer 4

Price stability and full employment

Economic growth and structural unemployment

Economic growth and equitable income distribution