What is the distinction between positive and normative economic statements?
Positive economic statements are statements that can be objectively tested or verified through observation and data analysis. These statements describe the way things are or how they will be in the future, regardless of whether they are good or bad. In contrast, normative economic statements are subjective statements that are based on opinions and values. These statements express what ought to be or what should be done, rather than what is. Positive statements focus on facts and realities, while normative statements focus on value judgments and opinions.
This mind map was published on 31 July 2024 and has been viewed 30 times.
