How Does the Size of Investment as a Fraction of GDP

question 90

Multiple Choice

How does the size of investment as a fraction of GDP compare to its importance in creating economic fluctuations?

• A) Investment is a small part of real GDP, and it accounts for a small share of the fluctuation in real GDP.
• B) Investment is a small part of real GDP, yet it accounts for a large share of the fluctuation in real GDP.
• C) Investment is a large part of real GDP, and it accounts for a large share of the fluctuation in real GDP.
• D) Investment is a large part of real GDP, yet it accounts for a small share of the fluctuation in real GDP.

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Definitions:

Cultural Relativity

The principle that an individual's beliefs and activities should be understood by others in terms of that individual's own culture.

'Etic' Abnormalities

Universal conditions or behaviors considered abnormal across different cultures.

Culture-Bound

Theory and data conditioned by a specific cultural background.

Cultural Perspective

A viewpoint that is shaped by the cultural context, including beliefs, values, and practices, influencing how individuals interpret the world.