Economics recap test

Question 1

What does social science mean?

Answer 1

Subject concerned with human behaviour.

Question 2

What does ceteris parabis mean?

Answer 2

Economists try to isolate singular events by saying either “all other things remaining equal” or “ceteris parabis”

Question 3

What are positive statements?

Answer 3

Statements of fact that can be proven by using data.

Question 4

What are normative statements?

Answer 4

Value judgements that involve opinions and cannot be proven right or wrong.

Question 5

Why do economists disagree?

Answer 5

• Different opinions about who should be included in the economic statistics
• Technical, cultural & social changes affect behaviour and its interpretation.
• Views differ on what policies should be carried out to affect the economy in the desired way.