Question

Which of the following is an example of a normative statement?

Higher prices cause consumers to buy less

A $1 tax on gas will cause demand to fall by 10%

Unemployment is our worst current economic problem

People under six feet tall live longer than people under six feet tall

Answer 1

Normative statements are like opinions which can't be tested for right or wrong. A positive statement is something which can be tested for right or wrong or have the backing of some date.

In the above-given question, the first, second, and fourth statement are positive statements which can be tested BUt the third statement is just an opinion, there can be more problems worst than unemployment but we can't test it.

The correct answer to this question is "C" Unemployment is our worst current economic problem.