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Vinil7 [7]
2 years ago
5

Determine if the items represent an example of positive economics or normative economics. The richest 1% of americans should pay

more taxes than the rest of the 99%. Positive economics normative economics a decrease in the supply of coconut will increase the price of german chocolate cake, a good which requires coconut shavings as a key ingredient. Positive economics normative economics as minimum wage increases, the prices of all goods and services also tends to increase. Positive economics normative economics social welfare spending in sweden occupies too large a portion of the national budget. Positive economics normative economics
Business
1 answer:
Annette [7]2 years ago
4 0

Answer:

A. Normative Economics

B. Positive Economics

C. Positive Economics

D. Normative Economics

Explanation:

Positive Economics  is objective and statements are usually based on facts and economic theory. They can be tested.

For example, an increase in input would lead to a decreases in supply of the good is based on economic theory and facts. An increase in input would increase the cost of production and this would discourage sellers from producing.

Normative economics s based value judgements, opinions and perspectives. For example, the statement - social welfare spending in Sweden occupies too large a portion of the national budget - is based on opinion. To some the expenditure might be even too small. There is no economic theory that can be used to determine if this expenditure is too large or small

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