[Solved] Which of the following statements is an example of positive economics? — Ans: Inflation rate in India was 5.5% last year. | Economic Awareness

Economic Awareness - Sectors of Indian Economy

Which of the following statements is an example of positive economics?

AThe government should reduce income tax rates to boost growth.

BUnemployment should be reduced to below 4%.

CThe central bank must ensure price stability.

DInflation rate in India was 5.5% last year.

Step-by-Step Solution

Step 1: Identify the nature of each statement
Positive economics deals with objective, fact-based statements that can be tested or verified.
Step 2: Analyze the statements
The statement providing the inflation rate in India last year is a factual figure that is verifiable. The other statements express opinions or recommendations, which are normative.
Final Answer:
Inflation rate in India was 5.5% last year. → Option D
Quick Check:
Positive economics = fact-based statement ✅

Quick Trick: Look for factual data or measurable statistics for positive economics.

Common Mistakes:

MISTAKES

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