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Economics glossary · The macroeconomy

Low and stable inflation

What low and stable inflation means in economics, as one of four main objectives for the UK economy, with an example and a question to test yourself.

Definition
Low and stable inflation
Low and stable inflation means keeping rises in the general price level small and predictable.
Example

Can you think of an example of low and stable inflation?

Test yourself

Can you name the four main macroeconomic objectives?

Learn it properly: the module

Macroeconomic objectivesName the seven macroeconomic objectives, how the main ones are measured, and the UK inflation targetConcept · 7 min

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