Please enable JavaScript.
Coggle requires JavaScript to display documents.
economics 2.6.1 - Coggle Diagram
economics 2.6.1
low unemployment
utilise skills
high productivity
high efficiency
tax revenue increases
lower spending on benefits
more social stability
economic growth
at sustainable rate
higher living standards
more employment
inflation
environmental impact
low and stable level of inflation
won't impact low income families disproportionately high
2% + or - 1%
allows firms to plan for future investments
maintains purchasing power
risk of deflation if low inflation
current account equilibrium
exports = imports
avoiding large deficits or surpluses
exchange rate stability
export dependency can make them vulnerable to global downturns
balanced government budget
balanced fiscal budget
debt control
investor confidence
may require cuts in public services
environmental sustainability
sustainable development
health benefits
competitive disadvantage
income equality
high inequality means high government spending on welfare payments
social cohesion
low incentives to work