b. which of the following is a microeconomic statement? Between these two countries, Turkey has the absolute advantage in both goods. A)An output gap can be either expansionary or contractionary. The central bank should increase the nation's money supply. which of the following is an example of a positive economic statement? (b) Most transitional economies have experienced problems of failing output and rising prices over the past decade. C. If the national saving rate were to increase, so would the rate of economic growth. An example of a normative economic statement is: "The government should provide basic healthcare to all citizens." D) People will buy less butter at $1.50 per pound than they will at $1 per pound. Which of the following is a normative macroeconomics statement? D)The taxes on cigarette and alcohol should be increased. Which of the following is a normative economic statement. C) People would be better off if government expenditures were higher. B) When the price of gasoline rises, the quantity of gasoline purchased falls. A. b. 99) _____ A) Only a is a positive statement, b, c and d are normative statements. Course Hero is not sponsored or endorsed by any college or university. Thus, option “a” is correct. Normative statements express value-based judgement on how a situation should be . rationally. what does the normative approach ask regarding the lifespan? Which of the following is a normative statement? B. Which of the following is a normative statement? Which of the following is a normative statement? 2. Popcorn and soda are sold in movie theaters. Which of the following is a normative statement? For example, the unemployment rate in India in 2017 was 7.1%. A 2% increase in foreign investment in Fiji would increase Fiji’s economic growth by 0.5%. b. For this to be helpful we need to say something about normative claims. A “claim” is statement that asserts something that could be either true or false. C. The average income of a university graduate exceeds that of the average high school graduate. b. a. b) Reapid rates of economic growth can lead to environmental damage c) During a recession, unemployment rates Rise d) The government should keep inflation from rising. C) Unemployment increases during a recession. which of the following statement is incorrect about the mission? Question: Which of the following is a normative statement? An increase in the price of cameras will decrease the number of cameras sold. d. unemployment will rise. Personal income taxes should be higher. Taxes should be higher. (2) Last year, the price of chicken was $6 per pound and the price of fish was $7 per pound. Question 5 Which of the following statements is normative? Which of the following is a normative statement? Society should take measures to prevent people from engaging in dangerous personal behavior. which of the following is a true statement. One in every five children in the United States is living in poverty . Positive economic statements do not have to be correct, but they must be able to be tested and proved or disproved. Normative state… Economists assume people are motivated by. B. C) People would be better off if government expenditures were higher. Law X will reduce national income. Which of the following is a normative statement? A) The deduction for state taxes cost the federal government $100 billion per year. c. The Federal Reserve should reduce the rate of money growth. Which of the following is a normative statement? B. The easiest way to discern normative statements from positive statements is to whether the statement is a fact or opinion. Which of the following is a normative statement? People who engage in dangerous personal behavior impose … B) A, b, and c are positive statements and d is a normative statement. A. to distinguish between positive and normative statements B. to solve disagreements about the desirable extent of income equality C. to choose the correct political opinion among many competing ones D. to make forecasts Answer: D 18. B) To achieve efficiency, governments should prevent monopoly in markets. Peo… A) A decrease in price leads to an increase in quantity consumed. Normative economics provides judgments that show the … 36) Which of the following is a normative statement? For example: Pollution is the most serious economic problem; Unemployment is more harmful than inflation; The congestion charge for drivers of petrol-guzzling cars should increase to £25; The government should increase the minimum wage to £7 per hour to reduce poverty. Society faces a short-run trade-off between inflation and unemployment. Such a judgment is the opinion of the speaker; no one can “prove” that the statement is or is not correct. Popcorn and soda are sold in movie theaters. What is one thing that economists generally agree on? Difference between positive economics and normative economics . b. d. Society ought to require welfare recipients to look for jobs. which of the following is an example of a normative, as opposed to positive, statement? Response Feedback: A normative statement cannot be tested or validated; it is a matter of opinion. Which of the following is an example of a normative statement? c. profits will fall. Which of the following statements is then TRUE? specific normative events are also called ________. a. Positive statements are more descriptive using facts to make statements. To check the inflation, RBI should restrict the money supply is suggesting us a measure to make the situation desirable that is keep a check on inflation and thus the statement is normative in nature. … Which of the following statements has been drawn by inductive method? D) People will buy less butter at $1.50 per pound than they will at $1 per pound. B) Taxpayers in North Carolina pay state taxes which are above the national average. In both countries, the opportunity costs of producing cloth and baskets are the same. Turkey has a comparative advantage in cloth; Mexico has a comparative advantage in, Turkey has a comparative advantage in baskets; Mexico has a comparative advantage in. This preview shows page 3 - 4 out of 4 pages. Reducing unemployment is more important than reducing inflation. Descriptive versus Normative Claims. self interest. They can be tested or proven. (A) A consumer will buy from the cheapest market (B) All businessmen wish to buy at low price and sell at high price (C) A private firm will try to maximize its profits (D) The larger the stock of money with a person, the lower is the utility that he derives from it. Positive statements are more descriptive using facts to make statements. Which of the following is a normative statement? B) The current butter surplus is the result of federal policies. d. All of the above are normative statements. Question 5 Which of the following statements is normative? Here are some examples of normative statements in economics: We ought to do more to help the poor. Which is a normative statement? The only normative statement from the answer choices is “The multimillion dollar B­1 bombers are a waste of tax money.” The other statements can be tested and validated. 15 yards of cloth or 30 baskets. b. Lower taxes would result in lower tax revenues for the government. b. D) Congress is considering the president's tax plan to increase taxes which is a fair plan. Such a judgment is the opinion of the speaker; no one can “prove” that the statement is or is not correct. The price of candy bars is $2.25 each. Which of the following is a normative statement? teenage unemployment is too high. They generally suggest a mindset that certain things should happen in order for the world to be better. A normative statement is a statement that stresses an opinion or belief that cannot be readily tested. 97) _____ A) The price of gasoline is too high. B. The increase in the nation's money supply helped push the nation's unemployment rate down in the short run. a. A higher price for a good causes people to want to buy less of that good. B. Economists assume people behave. A) When interest rates rise, the quantity of loanable funds demanded for new mortgages will decline. (a) Planned economies allocate resources via government departments. which of the following is a normative economic statement? (b) Most transitional economies have experienced problems of failing output and rising prices over the past decade. Moral claims are a type of normative claim. Unlike positive statements, which depend on objective data analysis, normative statements are more concerned with “what should be” rather than facts or causal relationships. A) Consumers will buy more gasoline over the Christmas holiday even if the price of gas is 10 cents higher than it was during the Thanksgiving holiday. (c) There is a greater degree of consumer sovereignty in market economies than planned economies. (a) Planned economies allocate resources via government departments. Normative economics expresses ideological judgments and ideal states related to a condition, event, action, or behavior. A positive statement, on the other hand, is a factual statement. Select the normative statement that completes the following sentence: If the minimum wage is raised rapidly, then a. inflation increases. a. The federal government should raise taxes on wealthy people. C. The average income of a university graduate exceeds that of the average high school graduate. A. they carry value judgments. A) A decrease in price leads to an increase in quantity consumed. c. Ford Motor Company's new advertising campaign ended up hurting General Motors' sales. Economists tend to stay away from normative statements. B)Structural unemployment has increased. a. Which of the following is an example of a normative, as opposed to positive, statement? 15. There is another category of assertions, however, for which investigation can never resolve differences. Normative statements express value-based judgement on how a situation should be . d. An increase in minimum wages will increase unemployment. Answer A normative statement explains what should be base of the subject according to the belief through valued judgement that describes the fairness of the subject on public policy. Which of the following is a normative statement A An increase in the price of. Which of the following is a positive, rather than a normative, statement? B) Incomes grow more rapidly in high-tax states than low-tax states. Which of the following is a ‘Normative Statement’? If the price of a product decreases, quantity demanded increases. In the instance aboce, it is the author's opinion that in developed society income inequality should be minimised. These are objective statements. A decrease in the price of digital cameras will decrease the demand for camera film. A normative statement explains what should be base of the subject according to the belief through valued judgement that describes the fairness of the subject on public policy. To say that workers have right to a certain part of total income entails a value judgement. which of the following are characteristics of an effectively-worded strategic vision statement. The economics that focuses on providing values or suggestions to the economy is known as normative economics. Explain. Classify each of the following statements as positive or normative. D) When governments increase income tax rates, people work less. The only normative statement from the answer choices is “The multimillion dollar B­1 bombers are a waste of tax money.” The other statements can be tested and validated. 148. Law X is a good piece of legislation. A normative statementis one that makes a value judgment. A. Which of the following statements is a positive economic statement? We ought to do more to help the poor. Normative economics is a perspective on economics that reflects normative, or ideologically prescriptive judgments toward economic development, investment projects, statements… 28 percent of Canadian adults have a bachelor's degree. Which of the following is a normative statement? a. b. workers will gain their rightful share of total income. Law X is a good piece of legislation. There is another category of assertions, however, for which investigation can never resolve differences. (d) Reducing inequality should be a major priority for mixed economies. Which of the following is an example of a normative statement? Law X will reduce national income. Which of the consequences above are positive statements and which are normative statements? 97) Which of the following is a normative economic statement? A normative statement is concerned with the value judgments about a situation and looking if it is desirable or undesirable on the basis of that. A normative statement is one that involves a value judgment. Which of the following is a positive, rather than a normative, statement? Lower taxes would result in lower revenues. which of the following is a normative statement? If an economist argues that all countries gain from trade, what reasoning is, Suppose that a single person working in Mexico can produce either 20 yards of cloth or 80, baskets, and that a single person working in Turkey for the same length of time can produce either. Easy examples includes statements such as "inequality … (c) There is a greater degree of consumer sovereignty in market economies than planned economies. What is one thing that economists generally agree on? c. Congress ought to … c. The social security system is a good system and it deserves to be preserved as it is. Which of the following statements is a positive statement? Response Feedback: A normative statement cannot be tested or validated; it is a matter of opinion. D. Provincial governments should pay for the first two years of university at public institutions. Normative statements are statements based on opinions about what should happen. B) Incomes grow more rapidly in high-tax states than low-tax states. A. In the instance aboce, it is the author's opinion that in developed society income inequality should be minimised. 148. a. A DESCRIPTIVE claim is a claim that asserts that such-and-such IS the case. They are subjective rather than objective because they involve value judgment about what is right and what is wrong. Therefore, reduction of inequality in the economy in a valued judgement on the belief that it will establish peace and equality in the economy. Therefore, the unemployment rate should be lowered is a valued judgement based on the belief that it will bring economic welfare. University tuition rates are rising. Reducing tax rates on the wealthy would be good for the country. Lower taxes would result in a 13% increase in consumption spending. Normative Statement: A normative statement is concerned with the value judgments about a situation and looking if it is desirable or undesirable on the basis of that. University tuition rates are rising. D. Provincial governments should pay for the first two years of university at public institutions. 28 percent of Canadian adults have a bachelor's degree. C. Candy bars are more expensive than newspapers. (1) Which of the following is a normative statement? a. Which of the following is a normative statement? Quiz: Self-Test Quiz - Chapter 2. angel.bfwpub.com/Section/Content/default.asp?WCI=pgTool_Quiz_Preview&WCU=CRSCNT&key=1&ENTRY_ID=fb4a8c4526db4529a6adcfdd577775fa&LOR… The United States imports most of its cameras from Asia. Positive Statement. Normative statements are subjective statements – i.e. Here are some examples of normative statements in economics: 1. Although people often disagree about positive statements, such disagreements can ultimately be resolved through investigation. a) a higher price of oil means that people will buy less. The price of candy bars is $2.25 each. c. Congress ought to pass law X. d. The president should veto law X. b. A reduction in the rate of money growth will reduce the rate of inflation. Gasoline prices ought to be lower than they are now. Which of the following is a normative statement? Which of the following is a normative statement? 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