In making which of the following statements is an economist acting more like a scientist ?
Correct answer: A. A reduction in unemployment benefits will reduce the unemployment benefits will reduce the unemployment rate.
- A. A reduction in unemployment benefits will reduce the unemployment benefits will reduce the unemployment rate.
- B. The rate of inflation should be reduced because it robs the elderly of their savings.
- C. The unemployment rate should be reduced because unemployment robs individuals of their dignity.
- D. The state should increase subsidies to universities because the future of our country depends on education.
Explanation
Statement (a) is positive because it predicts a cause-and-effect relationship that can be tested with evidence. The other statements use value judgments such as “should,” making them normative rather than scientific claims.
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