Which of the Following Is a Normative Economic Statement

question 2

Multiple Choice

Which of the following is a normative economic statement?

• A) Income tax revenues decreased during the recession.
• B) Despite government stimulus spending, the unemployment rate remained above 9% in 2010.
• C) When the price of gasoline rises, transportation costs rise.
• D) The government should decrease spending on foreign aid to lower the federal deficit.

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Definitions:

Towers of Hanoi

A mathematical game or puzzle consisting of three rods and a number of differently sized disks that can slide onto any rod, requiring strategic movement according to specific rules.

Essential Structures

Fundamental components or frameworks that form the basis or core of something, often referring to concepts in both physical and abstract contexts.

Wertheimer

A founding figure in the school of thought known as Gestalt psychology, emphasizing the whole of anything is greater than its parts.

Mechanically Repetitive Means

Processes or methods that involve repetition of the same physical movements or sequences with little variation, often used in manufacturing or routine tasks.