Which of the following is a positive economic statement?
A) An unemployment rate of 7 percent or higher is a national disgrace.
B) When the national unemployment rate is 7 percent, the unemployment rate for inner-city youth is often close to 40 percent.
C) Unemployment and inflation are equally important problems.
D) An inflation rate of 7 percent is too high.

Question

Which of the following is a positive economic statement?  
A) An unemployment rate of 7 percent or higher is a national disgrace. 
B) When the national unemployment rate is 7 percent, the unemployment rate for inner-city youth is often close to 40 percent. 
C) Unemployment and inflation are equally important problems. 
D) An inflation rate of 7 percent is too high.

Quizplus · Accepted Answer

B is a positive economic statement because it is a factual statement describing a situation, without expressing a value judgment or opinion. It simply states the correlation between the national unemployment rate and the unemployment rate for inner-city youth.

Which of the Following Is a Positive Economic Statement