Which of the Following Is an Example of a Normative

question 36

Multiple Choice

Which of the following is an example of a normative economic statement?

• A)If the money supply falls,interest rates will rise.
• B)Teenage unemployment would be lower if there were no minimum wage.
• C)The quantity of shirts sold increases as the price of shirts decreases.
• D)The federal government's total spending should be reduced.
• E)If interest rates go up,then construction activity will fall.

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Definitions:

Algonquian Indians

A group of Native American peoples speaking Algonquian languages, spread across a vast area of North America from the Atlantic coast to the Great Lakes.

English Imports

Goods brought into a country from England for trade or sale.

Fight Against Colonization

Efforts or movements dedicated to resisting and ultimately ending the control or occupation by colonial powers, seeking self-determination and independence for colonized territories.

Indians

People native to or citizens of India; also used historically to refer to Native Americans due to Columbus’s initial misidentification.