In a rapidly globalized, evolving and competitive economy, we are exposed to different opposing market forces that would negate or upset the equilibrium to give rise to instability in the short or long run. Against the backdrop of the trade dispute between United States and China in addition to political turmoil tensions; it has exacerbated the volatility and urge central banks and governments around the world to adjust their stance and to adapt to nuances of varying market conditions. The ultimate aim will be to balance out the scarcity on factors of production (land, labour, capital, entrepreneurship) such that the marginal benefits such as full employment will exceed marginal costs such as high inflation. Unemployment poses as an opportunity cost as otherwise, the labor employed can contribute to the aggregate output and the government could also reduce the spending on transfer payments on unemployment benefits.