Which of the Following Statements Is True

question 90

Multiple Choice

Which of the following statements is true?

• A) As an economy experiences growth in GDP, the rate of unemployment is expected to decrease.
• B) As an economy experiences growth in GDP, the rate of unemployment is expected to increase.
• C) The unemployment rate in a country always remains constant.
• D) The unemployment rate in a country is not correlated with the level of economic activity in the country.

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Definitions:

Revenues

The total income generated by a company or entity from its business activities, such as sales of goods or services.

Interest Rates

The cost of borrowing money or the return for investing money, usually expressed as a percentage.

Cement Truck

A vehicle equipped with a revolving drum used for mixing cement with water, sand, and gravel to make concrete and transporting it to construction sites.

Utility Function

A mathematical representation of how consumers rank different bundles of goods according to the level of satisfaction or utility those bundles provide.