Question

Normative economics forms_________ based on _________.

• A. Positive statements, facts
• B. Opinions, personal values
• C. Positive statements, values
• D. Opinions, facts

Answer 1

Answer: (B)

Opinions, personal values

Normative economics is a perspective on economics that reflects normative judgments or opinionated reactions toward economic projects, statements, and scenarios. It typically presents an opinion on economic statements rather than an objective analysis that presents facts. Normative economics can branch into many opinion-based solutions and personnel values of individuals which mirrors how an individual or one whole community portrays particular economic projects. These kinds of views are especially important for policy makers or national leaders.