Author Question: Indicate whether each of the following is a positive or normative economic statement: I. The ... (Read 106 times)

sheilaspns

  • Hero Member
  • *****
  • Posts: 567
Indicate whether each of the following is a positive or normative economic statement: I. The imposition of a price ceiling below equilibrium price will lead to a shortage of housing. II. The local government should control the rate of increase in rents so that low-income residents are not forced to move from the area.

Question 2

Which of the following is included in GDP calculations?
 a. the college tuition paid to enroll in a course
 b. a check for 50 received on your birthday
 c. cash income received by a self-employed landscaper that is not reported to the IRS
  d. sales revenue received from a yard sale



marict

  • Sr. Member
  • ****
  • Posts: 304
Answer to Question 1

Statement I is a positive economic statement because it is testable.
Statement II is a normative economic statement because it reflects a value judgment.

Answer to Question 2

a



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question


 

Did you know?

More than nineteen million Americans carry the factor V gene that causes blood clots, pulmonary embolism, and heart disease.

Did you know?

In 1886, William Bates reported on the discovery of a substance produced by the adrenal gland that turned out to be epinephrine (adrenaline). In 1904, this drug was first artificially synthesized by Friedrich Stolz.

Did you know?

Most childhood vaccines are 90–99% effective in preventing disease. Side effects are rarely serious.

Did you know?

In most climates, 8 to 10 glasses of water per day is recommended for adults. The best indicator for adequate fluid intake is frequent, clear urination.

Did you know?

About 60% of newborn infants in the United States are jaundiced; that is, they look yellow. Kernicterus is a form of brain damage caused by excessive jaundice. When babies begin to be affected by excessive jaundice and begin to have brain damage, they become excessively lethargic.

For a complete list of videos, visit our video library