nalysis that involves value and judgments about economics policies is
a. Normative economics
b. Macroecronomics
c. Positive economics
d. microeconomics
a. Normative economics
explain
Normative economics is a branch of economics that involves making value judgments and subjective opinions about economic policies and outcomes. It goes beyond the analysis of facts and data to incorporate personal opinions, ideals, and beliefs about what is desirable or best for society.
In the context of economic policies, normative economics seeks to answer questions such as "What should be the optimal tax rate?" or "What is the best way to address income inequality?" These questions do not have a single objective answer, as they are influenced by individual perspectives and values.
Normative economic analysis often involves weighing different trade-offs and considering the potential impact of policies on various groups or stakeholders. It is concerned with defining goals and evaluating policy options based on their desirability and effectiveness in achieving those goals.
In contrast, positive economics focuses on objective analysis and the study of economic phenomena as they are, without making value judgments. It is concerned with understanding economic behavior, explaining economic relationships, and making predictions based on empirical data.