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When policy-makers discuss ways of \"stabilizing the macro economy,\" what are t

ID: 1202924 • Letter: W

Question

When policy-makers discuss ways of "stabilizing the macro economy," what are they focused on? Police makers are focused on finding ways of establishing a balance between public sector-control vs. private sector-control over the nation's resources. Policy-makers are focused on finding ways of establishing income equality among all workers across all Industries. Policy-makers are focused only on finding ways of eliminating unemployment. Policy-makers are focused on finding ways of balancing both the unemployment rate and inflation rate at low, stable rates.

Explanation / Answer

Fed, along with the government, uses its monetary policy tools to achieve certain macroeconomic goals. Of these goals, price stability and high employment are explicitly mentioned in the Employment Act of 1946.

Hence the correct option is D

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