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Which of the following is an example of a positive economic statement?

a. An increase in average income leads to an increase in average savings

b. Economics is the most useful social science

c. The government should ideally work as a welfare state

d. Eliminating poverty is more important than reducing inflation

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Related questions

Which of the following is an example of a positive economic statement? 
 
(i) Pollution is one of the most serious economic problems.
(ii) Higher interest rates will encourage more savings.
(iii) The pricing policies of monopolies should be strictly supervised.
(iv) Unemployment is more harmful than inflation.

Determine if the following items represent an example of positive economics or normative economics:

  1. The richest 1% of Americans should pay more taxes than the rest of the 99%.
  2. A decrease in the supply of coconut will increase the price of German chocolate cake, a good which requires coconut shavings as a key ingredient.
  3. The higher the minimum wage, the higher the price of goods and services is likely to be.
  4. Social welfare spending in Sweden occupies too large a portion of the national budget.

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