Which of the following choices best explains why full employment is an important goal of monetary policy?
A)For a nation to reach its economic potential, individuals must be given an opportunity to become productive (employed) members of society.
B)For a nation to maintain price stability, full employment must be attained first.
C)Full employment ensures that a nation's external balance will be satisfactory.
D)Full employment is a condition for politicians to be elected.

Question

Quizplus · Accepted Answer

Full employment is essential in order for individuals to have the opportunity to be productive members of society and contribute to the economy. It also helps to alleviate poverty, increase consumer confidence, and achieve economic growth. Maintaining full employment is a key goal of many governments and central banks.

Which of the Following Choices Best Explains Why Full Employment