Questions and Answers
What are the most common economic goals of countries?
Financial security, sustainable economic growth, full employment, stable prices.
What does economic growth refer to?
Being rational is important in achieving our goals.
True
Deflation is the sustained increase of prices.
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Full employment is close to impossibility because of economic imperfections.
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High inflation rates do not affect our purchasing power.
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What is the main goal of the government when it comes to stable prices?
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The COVID-19 pandemic has caused 7.3 million jobless Filipinos last April 2020.
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Which macroeconomic goal refers to producing the maximum output with given resources?
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Which project aimed to alleviate unemployment in the Philippines?
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Study Notes
Economic Goals
- Countries establish macroeconomic goals to provide direction and evaluate economic health.
- Common economic goals include sustainable economic growth, full employment, and stable prices.
Sustainable Economic Growth
- Refers to the increased productive capacity of an economy, enabling it to meet the needs of its populace.
- Measured by shifts in the Production Possibilities Frontier (PPF) indicating growth in output.
- Influenced by resource quantity increases and technology advancements.
- The Philippines recorded a 5.9% growth in the previous year but faced declines of 0.7% and 16.5% in early 2020 due to COVID-19 impacts on major sectors.
- Government optimism for a projected 6% growth in 2021 reflects resilience despite challenges.
Full Employment
- Implies optimal use of resources, aspiring for no unemployment despite inherent economic imperfections.
- The Philippine government allocates significant funds for projects like "Build, Build, Build" to stimulate job creation.
- Maria Lourdes D. Lim indicated the project could create an average of 1.1 million jobs annually, primarily in construction.
- COVID-19 pandemic led to an unprecedented unemployment rate of 17.7% with 7.3 million jobless in April 2020, complicating recovery efforts.
Stable Prices
- Essential for economic efficiency, with low and stable inflation rates allowing proper market function.
- High inflation diminishes purchasing power, while deflation indicates limited market activity.
- In July 2020, the inflation rate in the Philippines was reported at 2.7%, driven by increased transportation costs.
Importance of Economic Goals
- Economic goals serve as benchmarks for evaluating governmental policies and economic performance.
- Citizens can engage in discussions about these goals, and education in science and technology can contribute to national improvement.
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Description
Explore the significance of economic goals in this quiz based on Social Science 5, Module 1, Lesson 1.2. You will be able to identify common economic goals of countries and understand their importance in the context of the Philippines. Engage with reflective questions to deepen your understanding.
