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Eco Economics

EconomicsNEB 2075 (old course)

Write any two differences between positive and normative economics.

2

Answer

· Based on the official syllabus and past papers
Updated

Positive and normative economics differ in the following two key ways:

Aspect Positive Economics Normative Economics
Nature Objective and fact-based. Subjective and value-based.
Focus Explains "what is" or "what was". Deals with "what ought to be" or "what should be".
Example "Inflation in Nepal rose to 7% in 2075." "The government should reduce inflation to 4%."

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