When we talk about economics, there are two types of statements: positive and normative. Positive statements are objective and based on facts while normative statements express value judgments and opinions. In this article, we will focus on positive economic statements and discuss which of the following is a positive economic statement.
A positive economic statement is a statement that can be tested or proven to be either true or false. It does not involve any value judgments or opinions. Instead, it relies on data and evidence. Positive economic statements are used to describe how things are or how they work.
Now, let’s look at the options and see which one is a positive economic statement.
Option A: “The government should lower taxes to boost economic growth.”
This statement is a normative statement. It expresses an opinion on what the government should do. It is not based on facts or data but rather on a personal belief.
Option B: “Unemployment rates have decreased by 2% in the last quarter.”
This statement is a positive economic statement. It is based on hard data and can be tested and proven. It describes how unemployment rates have changed over time.
Option C: “The minimum wage in this country should be raised to $15 per hour.”
This statement is a normative statement. It expresses an opinion on what the minimum wage should be. It is not based on facts or data but rather on a personal belief.
Option D: “The demand for iPhones has increased by 10% this year.”
This statement is a positive economic statement. It is based on data and can be measured. It describes how the demand for iPhones has changed over time.
Option E: “The price of oil will go up next year because of increasing demand.”
This statement is a positive economic statement. It is based on a prediction and can be tested over time. It describes how the price of oil may change in the future based on current trends.
In conclusion, the only positive economic statement among the options given is option B: “Unemployment rates have decreased by 2% in the last quarter.” This statement is based on facts and data and can be tested and proven to be true or false. It describes how unemployment rates have changed over time, making it a positive economic statement.
