Which of the following would be associated with negative economic indicators?

The presence of high unemployment rates is indeed a strong negative economic indicator. High unemployment suggests that a significant portion of the labor force is unable to find work, which can indicate underlying issues in the economy such as lack of demand, decreased consumer confidence, or economic contraction. This condition often leads to reduced income, decreased consumer spending, and lower overall economic growth, creating a cycle that can further exacerbate the unemployment issue.

In contrast, increases in GDP, stable inflation rates, and increased consumer spending are generally seen as positive indicators for the economy. Rising GDP reflects economic growth, stable inflation suggests a balanced economy without drastic price level changes, and increased consumer spending indicates that consumers are confident in their financial situation and willing to spend, which drives economic activity. Thus, high unemployment rates serve as a clear sign of economic distress, making it the correct answer in identifying negative economic indicators.