price stability

Language: en

📖 Definitions

  1. A macroeconomic condition in which the general level of prices for goods and services remains relatively constant over time, characterized by low and stable inflation.; The state of having minimal fluctuations in the consumer price index, indicating that purchasing power is not being eroded by rapid inflation or deflation.; One of the dual mandates of the Federal Reserve, alongside maximum employment, aimed at maintaining steady economic growth without significant price volatility.

💬 Examples

  1. Central banks often prioritize price stability as a primary goal to ensure long-term economic health.

  2. Achieving price stability requires careful management of interest rates and money supply.

  3. The Fed remains committed to its dual mandate of maximum employment and price stability.