What is the difference between normative and positive economics?
A)Normative economics concerns the how and why of economic activity while positive economics concerns what should be.
B)Positive economics concerns what is, while normative economics concerns what should be.
C)Both concern the how and why of economic activity, while only positive economics also concerns what should be.
D)Neither deals with the how and why of economic activity, but normative economics concerns what should be.
E)Positive economics is used in Microeconomics, while normative economics is used in Macroeconomics.

Question

Quizplus · Accepted Answer

Positive economics deals with the objective facts and cause and effect relationships of economic activity, while normative economics deals with opinions, values and judgments about what economic activity ought to be.

What Is the Difference Between Normative and Positive Economics