Pros and Cons of Positive Economics - Deepstash
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Pros and Cons of Positive Economics

Pros and Cons of Positive Economics

Pros:

  • based on objective data and fact are at our disposal to back up any claims
  • there are no value judgments in positive economics which allows policymakers to formulate the appropriate measures necessary to tackle any economic conditions

Cons:

  • not everyone is concerned with the facts and there are certain economic conditions that we can base on emotions; economics isn't an exact science, therfore there are no fool-proof solutions
  • positive economics is not a one-size-fits-all approach. policies and solutions that arise from positive economics don't affect everyone the same way

13

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History of Positive Economics

History of Positive Economics

The history of positive economics can be traced back to the 19th century from the ideas of John Neville Keynes and John Stuart Mill, who were early economists.Β 

Keynes believed that logic and methodology were imperative in the study of economics while Mill was an economist who blended econo...

15

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Positive Economics

Positive Economics

Positive Economics is a stream of economics that focuses on the description, quantification, and explanation of the developments in economics, the expectations, and the associated phenomena. It heavily relies on objective data analysis, relevant facts, and associated figures.

16

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Normative Economics

Normative Economics

Normative economics is what economists call as "what should have been" or "what ought to be" study. This stream of economics aims to determine people's desirability or lack thereof to various economic programs, situations and conditions by asking the questions: what should happen or ...

15

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