Author Question: Indicate whether each of the following is a positive or normative economic statement: I. The ... (Read 107 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?

For high blood pressure (hypertension), a new class of drug, called a vasopeptidase blocker (inhibitor), has been developed. It decreases blood pressure by simultaneously dilating the peripheral arteries and increasing the body's loss of salt.

Did you know?

There are immediate benefits of chiropractic adjustments that are visible via magnetic resonance imaging (MRI). It shows that spinal manipulation therapy is effective in decreasing pain and increasing the gaps between the vertebrae, reducing pressure that leads to pain.

Did you know?

Today, nearly 8 out of 10 pregnant women living with HIV (about 1.1 million), receive antiretrovirals.

Did you know?

Recent studies have shown that the number of medication errors increases in relation to the number of orders that are verified per pharmacist, per work shift.

Did you know?

Patients who cannot swallow may receive nutrition via a parenteral route—usually, a catheter is inserted through the chest into a large vein going into the heart.

For a complete list of videos, visit our video library