Economic Methodology Flashcards
1
Q
What are Positive Statements?
A
These are statements without opinion or judgement and is based on evidence or observation.
2
Q
What are Normative Statements?
A
These are statements that express value judgement.
3
Q
What is ceteris peribus?
A
It is a latin term that is defined as where ‘other things remain equal’, it simply assumes that everything else is unchanged.
4
Q
What are the time periods?
A
- Short Run
- Long Run
- Very Long Run
