"Inflation Is Less of a Problem, Over the Long Term

question 119

Multiple Choice

"Inflation is less of a problem, over the long term, than unemployment." is an example of:

• A)a positive statement.
• B)a normative statement.
• C)a statement that could never be true.
• D)a statement that suffers from a logical error.
• E)none of the above.

---

Definitions:

Glasses of Milk

Units of measurement for milk, commonly consumed for its nutritional value, including calcium and vitamins.

Giffen Good

A product that experiences an increase in demand as its price rises, contrary to the basic law of demand, often because it lacks close substitutes.

Normal Goods

Goods for which demand increases when consumers' income increases and falls when income decreases, all else being equal.

Consumption Bundle

A combination of various goods and services that an individual consumes.