Which One of the Following Is a Normative Economic Statement

question 27

Multiple Choice

Which one of the following is a normative economic statement?

• A) The unemployment rate fell for the fourth straight month, reflecting the effects from stronger economic growth in the second quarter
• B) The worsening balance of trade must be corrected if this nation is to remain competitive in the world economy
• C) Consumer prices are rising at a faster rate than in past months, indicating a renewal of inflationary pressures on the economy
• D) To help balance the Federal budget, Congress increased the tax on gasoline to its highest level in the past ten years

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