Normative Statement and Positive Statement

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Normative Statement

A normative statement carries judgment. Normative statements are opinions. They are subjective statements. For example, globalization inflicts economic harm to a country is an opinion.

Since they are opinions, they cannot be proven or disproven. Economists tend to stay away from normative statements.

Positive Statement

A positive statement, on the other hand, is a factual statement. They can be tested or proven. These are objective statements.

For example,  the unemployment rate in India in 2017 was 7.1%.

The easiest way to discern normative statements from positive statements is to whether the statement is a fact or opinion.

Prateek Agarwal
Prateek Agarwal
Member since June 20, 2011
Prateek Agarwal’s passion for economics began during his undergrad career at USC, where he studied economics and business. He started Intelligent Economist in 2011 as a way of teaching current and fellow students about the intricacies of the subject. Since then he has researched the field extensively and has published over 200 articles. If you have any questions, comments or suggestions, please email me or connect with me on LinkedIn - https://www.linkedin.com/in/prateekgrwl/

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