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CAIE A-Level Economics AS 1.2.2 Positive Vs Normative Statements Questions

Practise identifying objective, testable positive statements and subjective, value-based normative statements using CAIE Economics AS questions.

Syllabus
2026–2028
Course
Economics 9708
Level
AS

Exam points

  • Distinguish positive economic statements, which are objective and testable, from normative statements, which express subjective value judgements.

CAIE A-Level Economics AS 1.2.2 Positive Vs Normative Statements Questions question 1

[Maximum number: 1]

Governments in market economies give different reasons for intervening in the operation of an economy.

Which reason given is a normative statement?

A

Average incomes have failed to keep pace with price rises during the past year.

B

Energy prices have increased by more than 50 % during the past year.

C

The distribution of incomes has become more unfair during the past year.

D

The poorest 10 % of households have suffered the greatest fall in average real income during the past year.

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