place, the government should enact legislation banning imports of low -wage Asian clothing.” a….

place, the government should enact legislation banning imports of low -wage Asian clothing.” a. Which parts of this quote are positive statements? Which parts are normative statements? b. Is the policy that is being advocated consistent with the preceding statements about the wages and productivities of American and Asian workers? c. Would such a policy make some Americans better off without making any other Americans worse off? That is, would this policy be efficient from the viewpoint of all Americans? d. Would low -wage Asian workers benefit from or be hurt by such a policy? 9. Are the following statements true or false? Explain your answers. a. “When people must pay higher taxes on their wage earnings, it reduces their incentive to work” is a positive statement. b. “We should lower taxes to encourage more work” is a positive statement. c. Economics cannot always be used to completely decide what society ought to do. d. “The system of public education in this country generates greater benefits to society than the cost of running the system” is a normative statement. e. All disagreements among economists are generated by the media.

 

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