Which of the Following Is a Positive Economic Statement

question 207

Multiple Choice

Which of the following is a positive economic statement?

• A)The inflation rate in the United States is too high.
• B)Unemployment insurance payments increase when the unemployment rate rises.
• C)The government should defund Obamacare.
• D)States should be able to enact their own marijuana legalization laws.

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Definitions:

Compounded Monthly

Interest on an investment or loan calculated each month and added to the balance, so that subsequent interest calculations include interest on the previous interest.

Receivable Contract

An agreement where one party has the right to receive a payment or series of payments from another party.

Discount Rate

The interest rate used in discounted cash flow (DCF) analysis to determine the present value of future cash flows.

Compounded Monthly

A calculation method where interest is added to the principal balance on a monthly basis, resulting in interest on interest.