Multiple Choice
Which of the following best describes how natural resources impact economic development?
75
views
0. Basic Principles of Economics
Positive and Normative Analysis
Multiple Choice
Which of the following types of analysis is most likely to result in a rational, objective answer in economics?
A
Positive analysis
B
Normative analysis
C
Ethical analysis
D
Value-based analysis
Verified step by step guidance1
Step 1: Understand the difference between positive and normative analysis in economics. Positive analysis deals with objective statements that can be tested or verified, focusing on 'what is' rather than 'what ought to be.'
Step 2: Recognize that normative analysis involves subjective judgments and opinions about what should happen, often based on personal values or ethics.
Step 3: Identify that ethical analysis and value-based analysis are closely related to normative analysis because they incorporate moral or value judgments rather than purely objective facts.
Step 4: Since the question asks for the type of analysis most likely to result in a rational, objective answer, focus on the analysis that relies on empirical evidence and testable hypotheses.
Step 5: Conclude that positive analysis fits this description because it aims to describe and explain economic phenomena without incorporating personal biases or value judgments.
Related Videos
Related Practice
