The economic principle that the "unemployment rate will tend to increase as the economy moves into a recession" is an example of
A) a normative statement.
B) an assumption.
C) loaded terminology.
D) a generalization.

Question

Quizplus · Accepted Answer

The statement is a generalization that is based on past observations of the relationship between unemployment and recession. It is not a normative statement that expresses a value judgment, an assumption that is not supported by evidence, or loaded terminology that contains biased language.

The Economic Principle That the "Unemployment Rate Will Tend to Increase