Which of the Following Statements Is Not Correct

question 144

Multiple Choice

Which of the following statements is not correct?

• A)The median voter theorem explains why politicians appeal to the middle of the voting distribution.
• B)Based on studies of human decision making, most people prefer to procrastinate, both in the immediate future and in the distant future.
• C)Screening refers to an uninformed party trying to extract information from an informed party.
• D)Advertising can be an example of a company signaling the quality of its products.

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Definitions:

Disinflation

A reduction in inflation rate, signifying a deceleration in how quickly the costs for goods and services increase.

Inflation

The progression speed of the general price index for goods and services, diminishing the effective value of money.

Cost-Push Inflation

Rising costs of doing business push up prices.

Open-Market Operations

Activities undertaken by central banks to buy or sell government securities in the open market to influence the money supply and interest rates.