an increase in the price of gasoline will reduce the amount of gasoline purchased. this is\na. a positive…

an increase in the price of gasoline will reduce the amount of gasoline purchased. this is\na. a positive economic statement.\nb. a normative economic statement.\nc. a negative economic statement.\nd. an economic assumption.

an increase in the price of gasoline will reduce the amount of gasoline purchased. this is\na. a positive economic statement.\nb. a normative economic statement.\nc. a negative economic statement.\nd. an economic assumption.

Answer

Brief Explanations:

Positive economic statements are objective and can be tested or proven. The statement that an increase in gasoline price will reduce the amount purchased is a factual relationship that can be verified through data and economic analysis. Normative statements involve value - judgments. Negative economic statements are not a standard economic term in this context. And it is not an assumption as it is a statement about an expected relationship.

Answer:

A. a positive economic statement