Relationships between the Australia's economic objectives

* harmonious ? relationships argon congenial when promoting one sparing difference actually helps the government to better achieve another final stage. more(prenominal)(prenominal) of goal A = More of goal B. They argon too compatible in the sense that if one objective is excruciation and so the other is also suffering. *Conflicting ? Relationships are hostile when promoting or improving one economic objective undermines the deed of another. *Compatible & Conflicting ? It is possible for both types of relationships to cost among the two objectives. Ie the relationship may be part compatible in the long term however to both(prenominal) extent also conflicting especially in the short-change term. wrong stability set stableness and Rapid economic and profession branch ? Price stability can be compatible with sustained or long term economic and occupation growth. Price stability eg low lump creates a humour of sizeable line of descent confidence, thus en couraging productive enthronisation in new plant and equipment which can bolster economic power and create new employment opportunities. High lump erodes business optimism and diverts scarce capital resources into speculative areas, doing little to grow performance and employment. Price stability inflects international fight at mansion and aborad, increasing local and export sales, production and employment. Price Stability & External Stability- Price stability unremarkably helps strengthen external stability, that is, they are compatible. The avoidance of inflation lifts the expense competitiveness of local firms as use up rates are not likely to rise and thus local firms are able to produce and grapple better. This tends to slow imports. Lower inflation in the longer term also allows us to pledge cheaper busy rates locally relative to those overseas, leading to more attractiveness of investing or borrowing money municipalally. Cheaper interest rates, as prev iously mentioned, leads to firms being bette! r able to manage overseas, and thus can attract not only domestic consumers... If you want to get a full essay, order it on our website: OrderCustomPaper.com

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