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Which of the following is an economic force in the environment?

a. unemployment
b. inflation
c. interest rates
d. economic growth
e. all of the above

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User GOLDEE
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1 Answer

3 votes

Final answer:

All the given options (unemployment, inflation, interest rates, economic growth) are economic forces in the environment, along with other factors such as rising inflation, an increase in the natural rate of unemployment, and a rise in oil prices.

Step-by-step explanation:

The economic force in the environment that the question refers to can be identified as e. all of the above. This includes: a. unemployment, which affects economic performance by limiting production; b. inflation, representing the rate at which the general level of prices for goods and services is rising, and subsequently, purchasing power is falling; c. interest rates, which affect consumer and business borrowing costs; and d. economic growth, measuring the increase in a country's output over time.

Other relevant economic forces mentioned are rising inflation, which erodes consumer purchasing power; an increase in the natural rate of unemployment, referring to the long-term rate of unemployment that the economy normally experiences; and a rise in oil prices, which can lead to higher production costs and affect economic activity.

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User YBathia
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