What Is a Valid Policy to Use for Increasing the Rate

question 78

Multiple Choice

What is a valid policy to use for increasing the rate of economic growth?

• A) reduce reliance on market forces because they allocate goods and services in an unfair manner
• B) encourage trade with neighbouring countries
• C) increase the fraction of GDP devoted to consumption
• D) restrict investment in domestic industries by foreigners because they take some of the profits out of the country

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Definitions:

Consumer Confidence

A measure of how optimistic or pessimistic consumers are about their financial situation and the overall state of the economy.

Social Stratification

A system by which a society ranks categories of people in a hierarchy, based on factors like wealth, income, race, education, and power.

Social Class

A division of a society based on social and economic status.

Social Strata

Layers within a society, formed based on various criteria such as wealth, occupation, and education, which define a person's social standing or class.