Which of the Following Is True

question 16

Multiple Choice

Which of the following is true?

• A) Positive economics deals with how people react to changes in benefits, and normative economics deals with how people react to changes in costs.
• B) Positive economic statements are testable, but normative statements are not.
• C) Positive economic statements involve value judgments while normative economics focuses on whether a policy will achieve its intended objectives.
• D) Positive economic statements focus on policy issues while normative economics focuses on economic theory.