If the Deviations from Trend in a Macroeconomic Variable Is

question 8

Multiple Choice

If the deviations from trend in a macroeconomic variable is neither procyclical not countercyclical,it is

• A) positively correlated.
• B) a correlation coefficient.
• C) lagging.
• D) coincident.
• E) acyclical.

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Definitions:

Import Substitution Strategy

An economic policy aimed at reducing foreign dependency by encouraging local production of industrialized products.

Comparative Advantage

The advantage in the production of a good enjoyed by one country over another when that good can be produced at lower cost in terms of other goods than it could be in the other country.

International Marketplace

A global economic environment where goods, services, and financial assets are exchanged between countries.

Social Overhead Capital

Public infrastructure that provides support for the economic activities of a country or region, such as roads, schools, and hospitals.