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Positive and Normative Analysis
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Positive and Normative Analysis
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0. Basic Principles of Economics / Positive and Normative Analysis / Problem 4
Problem 4
Which of the following pairs correctly illustrates the difference between a positive and a normative statement?
A
'The Earth is round.' and 'The Earth should be flat.'
B
'Taxes are high.' and 'Taxes are low.'
C
'The sky is blue.' and 'The sky should be green.'
D
'The unemployment rate is 5%.' and 'The unemployment rate should be 3%.'
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