A Normative Statement Is a Statement Regarding

question 168

Multiple Choice

A normative statement is a statement regarding

• A)the assumptions of an economic model.
• B)what is usually the case.
• C)what is.
• D)the predictions of an economic model.
• E)what ought to be.

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Definitions:

Shut Down

A shut down refers to a temporary or permanent cessation of operations, typically due to economic conditions or strategic decisions.

Fixed Cost

Costs that do not vary with the level of production or sales, such as rent, salaries, or property taxes.

Insurance Premiums

Payments given to an insurer for the purpose of securing protection against monetary losses from certain risks.

Variable Cost

Expenditures that adjust based on the volume of output or services provided by a business.