Relevant, or important and useful, data is helpful for making:

• A. political policy recommendations
• B. normative value judgments
• C. ethical decisions in economics
• D. positive economic statements

Answer: (D)

Verified step by step guidance

1. Step 1: Understand the difference between positive and normative economics. Positive economics deals with objective analysis and facts about the economy, focusing on 'what is,' while normative economics involves subjective value judgments about 'what ought to be.'
2. Step 2: Recognize that relevant and useful data is essential for making positive economic statements because these statements are based on empirical evidence and can be tested or validated.
3. Step 3: Identify that political policy recommendations, normative value judgments, and ethical decisions in economics often involve subjective opinions or values, which go beyond just data and facts.
4. Step 4: Conclude that relevant data helps in forming positive economic statements, which describe and explain economic phenomena without making judgments about their desirability.
5. Step 5: Summarize that the correct answer is 'positive economic statements' because they rely on important and useful data to analyze economic realities objectively.