Index indicate? Each term is used only once. Compare the three states of the Nat
ID: 1142287 • Letter: I
Question
Index indicate? Each term is used only once. Compare the three states of the National Activity Index to the long-term trend (i.e., historical trend) of economic growth. Statement 1: When the National Activity Index is negative, this means that the economy is growing Statement 2: When the National Activity Index is equal to zero, this infers that the economy is growing Statement 3: When the National Activity Index is positive, this means that the economy is growing Answer Bank faster than long-term economic growh.slower than long-term economic growth. on par with long-term economic growth.Explanation / Answer
Answer
If National Activity Index is greater than 0 then it means that economy is growing above Long term growth, If National Activity Index is lesser than 0 then it means that economy is growing below Long term growth and If National Activity Index is greater equals 0 then it means that economy is growing at the Long term growth.
Hence,
Statement 1
When The national Activity Index is negativeThis means that the economy is growing slower than the Long Term Economic Growth.
Statement 2
When The national Activity Index is equal to 0, This means that the economy is growing at par with Long Term Economic Growth.
Statement 3
When The national Activity Index is positive This means that the economy is growing Faster than the Long Term Economic Growth.