Which of the Following Is an Example of a Normative

question 14

Multiple Choice

Which of the following is an example of a normative economic statement?

• A) The inflation rate in the United States decreased from 4 percent last year to 3 percent this year as a result of lower energy prices.
• B) The economy grew at an annual rate of 5 percent during the first quarter of this year.
• C) If two automobile companies merge, it is likely that the price of automobiles will rise.
• D) An increase in international trade benefits some workers but hurts others.
• E) The minimum wage should be increased so that low income workers can afford to keep up with the cost of living.

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Definitions:

IQ Scores

A numerical assessment, derived from standardized tests, that measures a person's intelligence level compared to others.

Environmental Factors

Elements within the surrounding environment that can influence living organisms, encompassing physical, chemical, and biological factors.

Reaction Range

The concept indicating the limits within which a person's genetic makeup may impact their traits or abilities.

Actual IQ Score

The quantified measure of a person's intelligence, as determined by standardized testing.