Which Is the Best Description of a Normative Statement? a Normative

question 142

Multiple Choice

Which is the best description of a normative statement? A normative statement

• A)can be derived logically from facts.
• B)concerns what is provable.
• C)is a statement that is empirically testable.
• D)is one that involves a value judgment.
• E)has no place in the study and practice of economics.

---

Definitions:

Project Cash Flows

Net amounts of cash that are to be received or paid out over the duration of a project, determining its profitability and feasibility.

Predictable

Capable of being foreseen or declared in advance with a high degree of certainty.

Correlated

When two variables have a mutual relationship that affects each other's movements or values.

Cash Flow

The total amount of money being transferred into and out of a business, measuring financial health.