Explain the difference between positive and normative economics Consider the following two statements. In each case, explain briefly your answer: a.   A 5 percent fall in the unemployment rate will lead to a 2 percent increase in the inflation rate" b.   "Pollution in developing countries is one of the biggest global environmental problems" Which of the these  statements is an example of "positive" economics Which of these statements in an example of :normative "economics

Q: Normative economic statements MUST a. be precise b. quantify data c. have no bias d. be objective e.…

A: The economics is the study of individual behavior and how they allocate the goods and services…

Q: Classity ach of the following statements as pestive or nomative Statement Positive Normative Firms…

A: Positive economics describes and explains diverse monetary phenomena or the "what is" scenario.…

Q: Normative economics is:    a. An investigation or statement about the norms and culture of other…

A: The study about the scarce allocation of resources among the people of the society is referred to as…

Q: Which of the following is a normative statement? a. The interest rate cut will lower unemployment.…

A: A normative statement is   descriptive statement, It is a claim or opinion that describes what ought…

Q: Determine whether each of the following statements is positive or normative. (Remember that…

A: The positive and normative economics are two different types of economic analysis where positive…

Q: If economics is a positive science, why do economists always disagree

A: Let’s see it with an example, suppose a nation has a high unemployment rate. The government…

Q: The statement "what's good for General Electric is good for the nation" is an example of: the…

A: Fallacy of composition: - The fallacy of composition is referred to the argument of something being…

Q: Explain economics as a science in the introduction to economics.

A: Economics is frequently alluded to as a sociology that investigates how people, organizations, and…

Q: A union leader states that: "The government should provide subsidies to unemployed workers…

A: The statement which is subjective and based on value judgements and assumptions. Providing any view,…

Q: State whether each entry below is positive or normative—explain your answer. Low-income people pay…

A: Positive and normative economics are correctly referred to as the two arms of economics.   Positive…

Laffer Curve Analysis

In terms of economics, the Laffer curve was popular among those economists who were or who belonged to the supply side of the economic peripheral.  This concept was popularized by the famous supply-side economist known as Arthur Laffer. This curve illustrated the relationship between the tax rates and government revenue. It is already known that the tax which the public or individuals residing in an economy bear is the revenue or income of the government with the help of which the government does all the necessary works in the society, which is beneficial for the economy.