Question : Positive economics seeks to:
Option 1: Advocate for specific economic policies
Option 2: Assess the desirability of economic outcomes
Option 3: Describe and explain economic phenomena
Option 4: Make normative judgments based on personal values
Correct Answer: Describe and explain economic phenomena
Solution : The correct answer is (c) Describe and explain economic phenomena.
Positive economics seeks to describe and explain economic phenomena through the analysis of economic data and facts. It focuses on providing objective analysis and understanding of how the economy functions. Positive economics aims to identify and analyze cause-and-effect relationships, examine economic behavior, and provide insights into economic outcomes based on empirical evidence and data.
Question : Normative economics aims to:
Option 1: Predict future economic trends
Option 2: Provide descriptive analysis of economic phenomena
Option 3: Make value judgments about economic policies
Option 4: Explain the causes of economic fluctuations
Question : Normative economics often involves:
Option 1: Forecasting economic indicators
Option 2: Analyzing historical economic trends
Option 3: Making policy recommendations based on personal values
Option 4: Conducting econometric analyses
Question : Normative economics deals with:
Option 1: Economic data analysis
Option 2: Objective and value-free analysis
Option 3: Economic policies and ethical judgments
Option 4: Economic theories and models
Option 1: Empirical research and data analysis
Option 2: Developing economic theories and models
Option 3: Providing value judgments about economic outcomes
Option 4: Historical analysis of economic events
Question : Normative economics is often based on:
Option 1: Objective analysis and empirical evidence
Option 2: Subjective opinions and personal values
Option 3: Economic theories and models
Option 4: Historical trends and patterns
Regular exam updates, QnA, Predictors, College Applications & E-books now on your Mobile