Which of the Following Statements Correctly Differentiates Between Positive and Normative

question 42

Multiple Choice

Which of the following statements correctly differentiates between positive and normative economics?

• A) Positive economics is descriptive, whereas normative economics is advisory.
• B) Positive economics describes what people ought to do, whereas normative economics describes what people actually do.
• C) Positive economics is based on judgments, whereas normative economics is not.
• D) Positive economics can only be applied to microeconomics, whereas normative economics can be applied to both microeconomics and macroeconomics.

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Definitions:

Department Supervisors

Individuals responsible for overseeing the operations of a specific department within an organization, managing employees and resources.

Restrictive Endorsement

A limitation placed on the use of a check or other negotiable instrument, specifying the conditions under which it can be transferred.

Blank Endorsement

A signature on a financial instrument, such as a check, that specifies no particular payee, allowing any holder of the instrument to cash or deposit it.

Rubber Stamp

A tool used to imprint designs or text on a surface with ink, often used metaphorically to describe automatic approval without careful consideration.