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A high employment rate is one of the government’s macroeconomic objectives as it would indicate an economy is working at its full potential, and that households are receiving enough income to maintain their living standards. Increasing the number of workers would mean the possibility of producing more goods and services, as labour is a type of factor of production. Note that employment rates tend to include individuals who work full-time, part-time and are self-employed.
Employment Revision Notes
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