Which of the Following Statements Is True

question 63

Multiple Choice

Which of the following statements is true?

• A)The observed relationship between the investment share of GDP and the real interest rate is negative, as predicted by theory.
• B)There is no steady relationship between the investment share of GDP and real interest rates, contrary to what is predicted by theory.
• C)The observed relationship between the investment share of GDP and the real interest rate is positive, contrary to what is predicted by theory.
• D)The observed relationship between the investment share of GDP and the real interest rate is positive, as predicted by theory.
• E)The observed relationship between the investment share of GDP and the real interest rate is negative, contrary to what is predicted by theory.

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Definitions:

Tax Freedom Day

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The governing bodies of individual U.S. states, responsible for making and enforcing laws within their own jurisdictions.

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The funds amassed by governments through the process of taxing.

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Government-operated lotteries where the state controls and profits from the games, often marketed as a way to raise funds for public services.