Two Economists, Tim and Henry, Are Discussing the Possibility of Substantially

question 162

Multiple Choice

Two economists, Tim and Henry, are discussing the possibility of substantially reforming the current financial system. Tim thinks the current system is fine, but Henry is in favour of reform. Which statement is the least likely explanation for the disagreement?

• A) Tim is a positive economist, and Henry is a normative economist.
• B) Tim and Henry have different positive views about the effect of changing the tax system.
• C) Tim and Henry have different values, and so they have different normative views about policy.
• D) Tim is better off under the current system, and Henry would be better off if the reforms were implemented.