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Question

Positive economics remains strictly neutral towards ends. This means that ____________.

A
positive economics study the facts as they are
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B
positive economics is prescriptive in nature
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C
positive economics is based on ethical, philosophical and religious beliefs
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D
only (a) and (b)
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Solution

The correct option is C positive economics study the facts as they are

Positive economics: It studies the fact of life i.e it deals with 'things as they are'. It deals with what are the economic problems and how are they actually solved.
It explains the cause and effect relationship and avoids giving suggestions. Thus it remains neutral towards ends.


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