positive and normative statement

What is an example of a positive statement in economics?

• Higher unemployment rates will decrease consumer spending.

• An increase in the minimum wage will lead to higher unemployment rates.

• An increase in the minimum wage will reduce job opportunities.

• Higher wages always lead to increased productivity.

Which of the following is a normative statement: 'The unemployment rate is 5%' or 'The government should increase the minimum wage'?

• The unemployment rate is 5%

• The government should increase the minimum wage

• The economy is growing at a steady pace

• The government should lower taxes

What is the main difference between positive and normative statements?

• The main difference is that positive statements are objective and factual, whereas normative statements are subjective and value-based.

• Positive statements are based on personal beliefs and values.

• Positive statements are always subjective and opinion-based.

• Normative statements are purely factual and objective.

How do positive statements influence economic policy decisions?

• Positive statements provide a factual basis for economic policy decisions.

• Positive statements are only relevant in theoretical discussions.

• Positive statements are purely opinion-based and do not affect policy.

• Positive statements are ignored in economic policy making.

Why are normative statements important in shaping economic policies?

• Normative statements are only relevant in academic discussions, not in policy-making.

• Normative statements are purely theoretical and have no impact on real-world policies.

• Normative statements are based solely on statistical data and ignore societal values.

• Normative statements are important because they shape the goals and priorities of economic policies based on societal values and desired outcomes.