Asked by Jasmine Collymore on Jun 28, 2024
Verified
Positive economics is the branch of economics that makes prescriptions about the way the economy should work.
Positive Economics
The branch of economics that focuses on factual and cause-and-effect relationships, avoiding value judgments about what ought to be.
Prescriptions
Authorized orders for medication given by a licensed healthcare professional, allowing a patient to be provided medicine.
- Identify the differences between positive and normative statements within the context of economics.
Verified Answer
AG
Amirhosein GhahremaniJun 30, 2024
Final Answer :
False
Explanation :
Positive economics is the branch of economics that seeks to describe and explain economic phenomena, without making value judgments or prescriptions about how the economy should work. It is focused on what is, rather than what ought to be. In contrast, normative economics makes recommendations and value judgments about the way the economy should be organized and operated.
Learning Objectives
- Identify the differences between positive and normative statements within the context of economics.