Provide an Appropriate Response

question 31

Multiple Choice

Provide an appropriate response.
-Based on a recent survey of adults in 75,000 households, the U.S. Labor Department reported an unemployment
Rate of 3.4%. The margin of error was 0.1 percentage point. The goal of the study was to

• A)predict the unemployment rate for the following decade.
• B)determine the percentage of U.S. adults who are unemployed.
• C)determine the reasons U.S. adults are unemployed.
• D)determine the number of U.S. adults who are unemployed.

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Definitions:

Thorstein Veblen

A prominent American economist and sociologist known for his theories on the social implications of economic behaviors, particularly conspicuous consumption and leisure class.

Benjamin Franklin

A founding father of the United States, known for his contributions to the fields of science, politics, and economics.

MPC

Marginal propensity to consume (MPC) represents the ratio of the change in consumer spending to the change in income, showing how much income will be spent rather than saved.

APS

Average Propensity to Save; the fraction of total income that is saved by the economy or an individual at a certain time.