Which of the following is a normative economic statement?
A) An increase in corporate income taxes will cause the unemployment rate to increase.
B) The costs of medical care are increasing faster than the incomes of U.S. citizens.
C) Teenage unemployment is over 12 percent today.
D) Teenage unemployment is too high for the United States.

Question

Quizplus · Accepted Answer

A normative economic statement is a statement that involves value judgments and opinion. Option D, "Teenage unemployment is too high for the United States," involves a value judgment and is therefore a normative statement. The other options are positive statements, which simply state a fact or correlation without making any value judgments.

Which of the Following Is a Normative Economic Statement