Question

All of the following are goals the Federal Government seeks to achieve in the economic realm except

A. full employment.
B. price stability.
C. income equity.
D. economic growth.

Answer 1

The federal government seeks economic growth -all governments do. It also works towards price stability in form of combating inflation. Finally, it seeks full employment too, as it announced in 2012. This leaves us with option C. As the correct one.

Answer 2

The third alternative is correct (C).

The Government must have economic planning that guarantees price stability, seeks economic growth and full employment, which occurs when only a small and acceptable number of the economically active population is unemployed.

However, it is not the government's job to seek income equity. This type of intervention usually occurs in socialist governments. The role of a government in the capitalist system of production is to create an environment conducive to business and regulate the economy.