How Is the Misery Index Calculated

question 25

Multiple Choice

How is the misery index calculated?

• A)It is the inflation rate plus the unemployment rate.
• B)It is the unemployment rate minus the inflation rate.
• C)It is the actual inflation rate minus the expected inflation rate.
• D)It is the natural unemployment rate plus the long-run inflation rate.

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Definitions:

Voluntary Export Restraint

A self-imposed limitation by exporting countries on the volume of their exports of a particular good.

Subsidy

A financial contribution granted by a government or another entity to support an industry, business, or individual, usually intended to keep prices low, support an essential service, or encourage activities beneficial to the public interest.

Tariff

A tax imposed on imported goods to either raise state revenue or protect domestic industries from foreign competition.

Quota

A government-imposed limit on the amount or value of goods that can be imported or exported during a specified time period, often used to protect domestic industries.