Which of the Following Is Most Closely Associated with Positive

question 152

Multiple Choice

Which of the following is most closely associated with positive economics?

• A) determining the impact of government spending on the actual level of total employment
• B) determining the best level of immigration into the country
• C) determining whether too many luxury goods are being produced
• D) determining whether the government should reduce poverty
• E) determining whether the government should alter income taxes in order to increase total employment

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Definitions:

Creates Shortage

A market condition where the quantity demanded exceeds the quantity supplied at a given price, often due to price controls like price ceilings.

Price Floor

A government-imposed minimum price level for a particular commodity or service, aimed at protecting producers.

Legal Minimum

A legally established lower threshold for payments or conditions, such as minimum wage.

Good Sold

Refers to a product that has been purchased by a buyer from a seller in a transaction.