A. Positive Economics - trying to understand mechanism is desirable or not
B. Positive Economics - trying to understand mechanism functions
C. Positive Economics - trying to understand mechanism is Indian made or not
D. Positive Economics - trying to understand mechanism is bio-degradable or not
E. Positive Economics - trying to understand mechanism is costly or cheap
Choose the correct answer from the options given below:
Answer & explanation
Correct answer: option 2
Positive economics is concerned with describing and explaining economic phenomena without making value judgments. It involves understanding how economic mechanisms and systems function, without expressing whether these mechanisms are desirable or undesirable. Option B accurately reflects the nature of positive economics, as it emphasizes understanding the mechanism functions without addressing desirability or value judgments.