
This subtopic explores 2 key macroeconomic objectives, (low unemployment and low inflation) and the policies used to achieve them. It examines how governments and central banks use fiscal and monetary policy to influence economic activity, while highlighting the trade-offs that often arise between different objectives. The following case study analyzes the United States’ response to unemployment after COVID-19 and the United Kingdom’s efforts to reduce inflation, as real-world examples of how policy decisions can improve economic performance but also create new challenges.
Find below the PowerPoint case study on Topic 3.3 – Macroeconomic Objectives (Inflation and Unemployment), created by Lucas Ratto and Lucas Klabin (you may click on the arrow and open it on another tab)
Real-World Example: Unemployment (United States) & Inflation (United Kingdom)