Which of the following is a positive economic statement?
A) Raising the federal minimum wage to $6.50 per hour will cause the rate of unemployment to increase.
B) The United States spends too much on welfare.
C) Philosophy is not as interesting as economics.
D) Cold weather is much more enjoyable than warm weather.

Question

Quizplus · Accepted Answer

A positive economic statement is one that can be tested and validated; it describes what is, rather than what ought to be. Statement A is a positive economic statement because it makes a testable prediction about the effects of raising the minimum wage on unemployment.

Which of the Following Is a Positive Economic Statement