b. Classify each of the following statements as positive or normative. Explain. i. Bahamas faces a trade-off between inflation and unemployment ii. The ECCB should reduce the interest rates iii. St. Lucia ought to provide a pension for all citizens iv. Higher tax rates discourage savings an working.

b. Classify each of the following statements as positive or normative. Explain. i. Bahamas faces a trade-off between inflation and unemployment ii. The ECCB should reduce the interest rates iii. St. Lucia ought to provide a pension for all citizens iv. Higher tax rates discourage savings an working.

Macroeconomics

13th Edition

ISBN:9781337617390

Author:Roger A. Arnold

Publisher:Roger A. Arnold

Chapter14: Money And The Economy

Section14.3: Inflation

Problem 1ST

See similar textbooks

Similar questions

Which would likely increase the average level of interest rates for auto loans? Select one: a. An increase in inflation. b. An increase in the unemployment rate. c. A decrease in the level of business investment. d. A decrease in the amount of consumer spending.
A reason that the United States has the largest economy in the world because ________.A. American workers are very productive.B. it has the most land to work with.C. it has a smaller population to support.D. All of the responses are correct.27) Perhaps the best measure of economic progress is _____A. the annual inflation rate, since it accounts for what is happening to prices.B. the growth rate of real GDP per capita, since it takes into account both price changes and population growth.C. the annual growth rate in the population.D. the amount of working time needed for an individual worker to afford certain goods and services.
Which of the following is a positive economic statement? A. Unemployment insurance payments increase when the unemployment rate rises. B. States should be able to enact their own marijuana legalization laws. C. The government should defund Obamacare. D. The inflation rate in the United States is too high.
A microeconomic analysis would deal with? a. How the change in the price of gas effects a family b. inflation c. unemployment d. Real GDP
Select the correct answer. Which of these is a major effect of innovation? A. job creation B. unemployment C. high inflation D. fewer financial products Select the correct answer. Claire is the head of product design for her company. She has to create the layout for the next generation of smartphones. She has decided to build on ideas from the consumer’s perspective. Which part of the consumer’s expectations should Claire concentrate on? A. to minimize post-sales service B. to minimize product innovation C. to maximize product cost D. to maximize product utility
_________ is considered as a part of microeconomic analysis. a. Analyzing the problem of inflation and unemployment b. Investigating the behavior of a consumer c. Estimation of gross domestic product of a country d. Studying the determination of equilibrium price level
Classify each of the following statements as positive or nomative.Expalin. a. Society faces a short-run trade-off between inflation and unemployment. b. A reduction in the rate of money growth will reduce the rate of inflation. c. The Federal reserve should reduce the rate of money growth. d. Society ought to require welfare recipients to look for jobs. e. Lower tax rates encourge more work and more saving.
Analyze the economic forecast data for the three countries. Which country has the most challenging economic environment, and why? A. Brazil has the most challenging economic environment due to its relatively low GDP growth, coupled with the highest unemployment rate among the options. B. The United Kingdom has the most challenging economic environment because their inflation rate is anticipated to undergo the most significant decrease among the options. C. The United States has the most challenging economic environment due to having the lowest inflation rate among the options.
Theories should be judged based upon how a. consistently and accurately they predict. b. famous the economist is making the prediction. c. whether they are created by public sector workers or private sector workers. d. the amount of attention given to them by the media.
Inflation has begun to appear in the US economy. Who benefits from inflation and who is most hurt?
QUESTION 28 Fill in the blank using the number that corresponds to the correct word or phrase in the word bank below 1. positive 2. model 3. dependent 4. normative 5. theory 6. graphs 7. models 8. law 9. independent A hypothesis that has not been rejected after widespread testing and that wins general acceptance is commonly called a A theory that has been subjected to even more testing and that has won virtually universal acceptance becomes a The real world is far too complex for the human mind so scientists use instead. A is a set of simplifying assumptions about some aspect of the real world. Economists often use to represent economic models. Hypotheses in economics typically specify a relationship in which a change in one variable causes another to change, the variable that responds change is called the variable; the variable that induces a change is called the variable. A statement of fact or a hypothesis is a statement and a statement is one that makes a value judgment
Write a sentence or two defining the following terms in your own words. Give examples of each. a. Inflation b. Law of Comparative Advantage c. Law of Diminishing Demand