Positive Economics Involves Making Recommendations for What Economic Policy Should

question 163

True/False

Positive economics involves making recommendations for what economic policy should be.

---

Definitions:

Profit Maximization

The process or strategy aimed at achieving the highest possible profit for a firm, often by optimizing production and pricing decisions.

Marginal Cost

The rise in expenses incurred by the production of an extra unit of a product or service.

Competitive Market

A market structure characterized by a large number of buyers and sellers, where no single participant has significant market power.

Sales Volume

The quantity of goods or services sold by a company within a specific period.