Which of the following is an example of a positive statement?
A) Prices determine what goods and services are produced in a market economy.
B) The government of the Soviet Union determined the three fundamental questions of microeconomics (i.e., what is produced, how it is produced, who receives the product).
C) The production of goods and services should be determined by market prices.
D) A and B

Question

Quizplus · Accepted Answer

Positive statements are objective statements that can be tested, amended, or rejected by referring to the available evidence. Both A and B describe how economic systems function without making a judgment about whether those systems are good or bad, making them positive statements.

Which of the Following Is an Example of a Positive