Which of the following is considered to be a fixed cost of operating an automobile?

The marginal propensity to consume plus the marginal propensity to invest equal one

Indicate whether the statement is true or false

Which of the following is an example of a normative economic statement?

a. The inflation rate in the United States decreased 4 percent because the price of energy fell. b. The economy grew at an annual rate of 5 percent during the first quarter of this year. c. If two automobile companies merge, the price of automobiles will rise. d. An increase in international trade benefits some workers but hurts others. e. The minimum wage should be increased so that low-income workers can afford to keep up with the cost of living.