Identify Whether the Following Statements Are Positive or Normative Economic

question 22

Essay

Identify whether the following statements are positive or normative economic statements,and explain why you categorized them in that way.
(A)"The best way to improve the economic situation would be to decrease the unemployment rate by decreasing the interest rate."
(B)"The government increased taxes in order to decrease the budget deficit and improve economic growth."
(C)"Taxes on businesses decreased production in some industries in the short run."
(D)"The government should pursue a low-inflation policy by restraining the growth of the money supply."

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Definitions:

Accounting Period

A specific time period for which financial records and statements are prepared for a business or organization.

One Quarter

A term referring to one-fourth of a year, used in financial and business contexts to divide the fiscal or calendar year into four periods for reporting purposes.

One Year

A period consisting of 12 consecutive months.

Unearned Revenue

An accounting term referring to money received for a product or service yet to be delivered or performed.