Normative economic analysis addresses
A) What ought to happen
B) Factual issues
C) The cause-and-effect analysis of actions and their consequences
D) Are potentially testable

Question

Quizplus · Accepted Answer

Normative economic analysis is concerned with questions of what ought to happen or what should be done in a given situation. It involves judgments about what is desirable or good, based on values, ethics, or other normative criteria. It is different from positive economic analysis, which focuses on factual issues, cause-and-effect analysis, and potentially testable hypotheses.

Normative Economic Analysis Addresses