Which of the following is a positive economic statement?
A) Policymakers should strive to eliminate government budget deficits.
B) The President of the United States should promote high employment growth in the United States.
C) If the price of eggs increases, the quantity demanded of eggs will fall.
D) We should try to eliminate poverty in the United States.

Question

Quizplus · Accepted Answer

Statement C is a positive economic statement because it describes what will happen to quantity demanded when the price of eggs increases, without expressing any value judgments or opinions. Statements A, B, and D express normative statements that include value judgments or opinions about what should or should not be done.

Which of the Following Is a Positive Economic Statement