Which of the Following Are Positive Economic Statements and Which

question 143

Essay

Which of the following are positive economic statements and which are normative economic statements?
a.An increase in the price of gasoline will decrease the quantity of gasoline purchased.
b.The government should eliminate the minimum wage.
c.All states should raise the minimum wage to at least $10 per hour.
d.The government should scrap its current income tax structure in favor of a flat tax.
e.Unemployment has increased since the onset of the recession.
f.The government should not bail out investment banks during a financial crisis.

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Definitions:

Semi-Formal

A dress code or event that is between formal and casual, often requiring smart, well-kept attire without being overly formal.

Formal

Pertaining to conventions, rules, or established procedures often recognized by official institutions or customs.

Strategic Ambiguity

The deliberate use of vague or indistinct language to achieve a specific objective or to adapt to multiple situations.

Multiple Goals

The presence of more than one objective that an individual or organization aims to achieve.