Which of the U.S. Economic Goals focuses on providing stability in prices?

• A. Economic Growth
• B. Price Stability
• C. Economic Equity
• D. Full Employment

Answer: (B)

The U.S. economic goal that focuses specifically on providing stability in prices is indeed price stability. This goal is crucial as it helps maintain consumer confidence and encourages investment. When prices are stable, individuals and businesses can make informed decisions about spending and saving without the anxiety that comes from fluctuating prices.

Price stability can also help manage inflation, ensuring that the purchasing power of money remains relatively constant over time. This is essential for the health of the economy, as excessive inflation or deflation can lead to uncertainty, reduced consumer spending, and ultimately, a slowdown in economic activity.

In contrast, the other economic goals address different areas: economic growth relates to the increase of a country's output of goods and services; economic equity deals with fair distribution of wealth; and full employment focuses on maximizing job opportunities for those who are willing and able to work. Each of these goals contributes to the overall health of the economy but does not specifically target the issue of price stability.