- Economic stability
Economic stability refers to an absence of excessive fluctuations in the
macroeconomy. [ [http://www.imf.org/External/np/exr/facts/globstab.htm 'How the IMF Promotes Global Economic Stability'] ] An economy with fairly constant output growth and low and stable inflationwould be considered economically stable. An economy with frequent large recessions, a pronounced business cycle, very high or variable inflation, or frequent financial crises would be considered economically unstable.
Stability and Growth Pact
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