Microeconomics,, 16th Canadian Edition

(Sean Pound) #1

Economists often disagree with one another in the media or at
conferences, but their debates are more often about normative issues
than positive ones.


Grzegorz Momot/EPA/Shutterstock


Many other public disagreements are based on the positive/normative
distinction. Different economists have different values, and these
normative views play a large part in most discussions of public policy.
Many economists stress the importance of individual responsibility and
argue, for example, that lower employment insurance benefits would be
desirable because people would have a greater incentive to search for a
job. Other economists stress the need for a generous “social safety net”
and argue that higher employment insurance benefits are desirable
because human hardship would be reduced. In such debates, and there
are many in economics, it is the responsibility of the economist to state
clearly what part of the proffered advice is normative and what part is
positive.


Because the world is complex and because few issues can be settled
beyond any doubt, economists rarely agree unanimously on an issue.

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