ECO202 Lecture Notes - Lecture 1: Nbcnews.Com, Normative Economics
29 Nov 2022
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An economist plays two roles: scientist and policy advisor. As scientists, economists explain the world, and as policy advisors they help improve the world. Because these two roles have different goals, they require different types of language. Economists as scientist make positive claims, whereas economist as policy advisors make normative claims. Explain the difference between positive and normative analysis. Based off the chapter reading, validity is a major difference between positive and normative analysis. A positive analysis is solely based on evidence and concrete facts. Whereas normative analysis is more of an opinion that is based on someone s beliefs, perceptions, or personal views of the situation. Provide an example of a normative statement or an example of a positive statement from a recent news story. My example statement is based on the scope of a positive analysis: "this is the best time in years to buy a house. " (wile, 2022)
