which of the following statements is true course hero econ

by Kari Roob Sr. 9 min read

What is positive economics?

Positive economics is analysis that generates objective descriptions or predictions about the world that can be verified with data. It is analysis that describes what people actually do. "A 5% fall in the unemployment rate will lead to a 2% increase in the inflation rate" is an example of a positive economic statement.

What is macroeconomics in economics?

On the other hand, macroeconomics is the study of the economy as a whole. The scope of macroeconomics extends to the study of economy-wide phenomena, like the growth rate of an economy, the nation-wide unemployment rate, or the inflation rate. Robert and Janet are discussing unemployment and inflation in their country.