FREE ENTERPRISE GOALS

The American economy strives to "promote the general welfare" by following a set of economic goals.

These include:

• Economic Freedom
• Economic Efficiency
• Economic Equity
• Economic Security
• Economic Stability

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• Economic Growth

ECONOMIC FREEDOM

THE GOAL OF ECONOMIC FREEDOM IS TO ALLOW EACH MEMBER OF SOCIETY TO MAKE CHOICES.

ECONOMIC EFFICIENCY

Economic efficiency is the wise use of available resources so that costs do not exceed benefits.

ECONOMIC EQUITY

Economic equity is the attempt to balance an economic policy so that everyone benefits fairly.

ECONOMIC SECURITY

Americans desire protection against risks beyond their control - accidents on the job, natural disasters, business and bank failures, poverty in old age, etc.

ECONOMIC STABILITY

Economic stability seeks to reduce extreme ups and downs in the STANDARD OF LIVING - the material well-being of an individual, group, or nation.

ECONOMIC GROWTH

As the population increases, the economy must also expand in order to provide for additional needs and wants. Economic growth means producing increasing amounts of goods and services over the long term.

TRADE-OFFS AMONG GOALS

In a world of scarcity, it's necessary to sacrifice some things in order to achieve national goals. For example, any program that provides economic security - Medicare, Social Security,
or unemployment compensation - uses resources that could have been directed elsewhere.

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