1. Achieving internal and external balances
... authorities to maximize the efficiency of an economy will be evaluated and the value of expenditure switching and expenditure changing policies explored. There is internal balance in an economy if it experiences full employment, or a rate of unemployment of no more then 5 per cent per year, ... account has neither too large a deficit nor too large a surplus, with the general objective being to avoid an inability to repay national debts. Internal balance is important as the under, or over utilization of an economy's resources can lead to inefficiencies and price level movements. If a sust...
- Word Count: 1548
- Approx Pages: 6
- Grade Level: Undergraduate