In conducting normative analysis,economists apply
A) The principle of comparative advantage
B) The principle of individual sovereignty
C) The law of one price
D) The scientific method

Question

Quizplus · Accepted Answer

Normative analysis involves making value judgments and determining what ought to be done. The principle of individual sovereignty is concerned with the idea that individuals should have the freedom to make their own choices and decisions, which is often involved in normative analysis. The other choices are more relevant to positive analysis, which is focused on describing how the economy actually works.

In Conducting Normative Analysis,economists Apply