Which of the Following Statements Is NOT True About Economic

question 36

Multiple Choice

Which of the following statements is NOT true about economic indicators?

• A) Government spending accounts for about 50 percent of the GDP.
• B) When measuring GDP, it is important to put all prices on the same scale.
• C) The unemployment rate can be misleading because people who have given up looking for work are not included.
• D) A growth rate of 3 percent of personal disposable income is considered healthy.
• E) The number of homes and motor vehicle sales are good indicators of consumer demand.

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Definitions:

Memorandum

A written record or communication used in business or diplomatic activities.

Statute of Frauds

A rule of law mandating that some agreements must be documented in written form to be legally binding.

Signature of Guarantor

The act of signing by a guarantor, who agrees to fulfill the obligations of a debtor in case the debtor fails to meet their commitments.

Written Agreement

A formal, documented contract between parties, outlining terms and conditions that are legally binding.