Why is the goal of stability important to many people, Microeconomics

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Why is the goal of stability and security important to many people?  What problems typically emerge during periods of instability?

The instability over the business cycle can be accompanied by high rates of unemployment, which is associated with falling incomes and social stress, such as suicide, domestic violence, illness and crime.  Alternatively the instability may result in inflation, which can erode the purchasing power of income, or wipe out the value of savings and pensions.  

 


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