The misery index Which some commentators suggest measures the health of the economy, is ?
Correct answer: D. The sum of the unemployment rate and the inflation rate
- A. The sum of the growth rate of output and the inflation rate
- B. The sum of the natural rate of unemployment and the actual rate of unemployment
- C. The sum of the inflation rate and the central bank's refinancing rate
- D. The sum of the unemployment rate and the inflation rate
Explanation
The misery index is a simple indicator formed by adding the unemployment rate to the inflation rate. Higher values suggest greater economic hardship for households.
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