stable prices

What Is The Meaning Of Monetary Stability?

by

What Is The Meaning Of Monetary Stability? Monetary stability is a synonym for price stability. Price stability refers to a stable price level or a low level of inflation and not to stable individual prices. Why is monetary stability is important? This mandate reflects a broad consensus in society that, by maintaining price stability, monetary

How Does Price Stability Affect The Government?

by

How Does Price Stability Affect The Government? Price stability plays a dual role in monetary policy. Stable prices are desirable in themselves and thus are an important goal of monetary policy. But stable prices are also a prerequisite to the achievement of the Federal Reserve’s other mandated objectives, high employment and moderate long-term interest rates.