Which of the Following Is a Normative Macroeconomic Statement

question 104

Multiple Choice

Which of the following is a normative macroeconomic statement?

• A) An increase in government spending will reduce unemployment.
• B) An active government policy should be employed to maintain a healthy economy.
• C) The unemployment rate is 10 percent.
• D) There is a positive relationship between inflation and the rate of growth of money
• E) Gross domestic product grew 3 percent this year.

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Definitions:

Labor Union Membership

The enrollment and participation of workers in a labor union to collectively bargain for better wages, working conditions, and benefits.

Southern States

Refers to the states located in the southern region of the United States, often characterized by distinct historical, cultural, and economic aspects.

Monopsonies

Market situations where there is only one buyer for a particular product or service, giving the buyer significant power over prices.

Professional Baseball

A sport involving professional athletes who are paid to compete in baseball, typically organized in leagues and teams across various countries.