Which of the following statements best represents a positive analysis of the significance of the Great Railroad Strike of 1877?

• A. Government intervention in the strike was unfair to the workers.
• B. The strike led to widespread violence and disruption of rail services across several states.
• C. The strike was justified because workers deserved better wages and working conditions.
• D. The strike marked a turning point in American labor history, showing the moral necessity of unionization.

Answer: (B)

Verified step by step guidance

1. Step 1: Understand the difference between positive and normative analysis in economics. Positive analysis deals with objective, fact-based statements that can be tested or verified, while normative analysis involves subjective opinions or value judgments about what ought to be.
2. Step 2: Review each statement and classify it as either positive or normative. For example, statements that express fairness, justification, or moral necessity are normative because they involve value judgments.
3. Step 3: Identify the statement that describes an observable event or outcome without expressing an opinion. This is the hallmark of positive analysis.
4. Step 4: Recognize that the statement 'The strike led to widespread violence and disruption of rail services across several states' is a factual description of what happened during the Great Railroad Strike of 1877, making it a positive analysis.
5. Step 5: Conclude that the correct positive analysis is the statement describing the strike's consequences in terms of violence and disruption, as it is objective and verifiable.