Question

Which of the following is a normative statement?

• A. Planned economies allocate resources via government departments.
• B. Most transitional economies have experienced problems of failing output and rising prices over the past decade.
• C. There is a greater degree of consumer sovereignty in market economies than planned economies.
• D. Reducing inequality should be a major priority for mixed economies

Answer 1

The correct option is D Reducing inequality should be a major priority for mixed economies

A normative statement explains what should be base of the subject according to the belief through valued judgement that describes the fairness of the subject on public policy.
Therefore, reduction of inequality in the economy in a valued judgement on the belief that it will establish peace and equality in the economy