Which of the following is an example of positive economic analysis?

A vast majority of the poor are not able to meet their basic nutritional needs.

The correct answer is Option (2) → A vast majority of the poor are not able to meet their basic nutritional needs.

Positive economic analysis focuses on objective facts and cause-and-effect relationships. It provides a neutral description of economic phenomena.

1. The government must provide for the basic needs of the poor. This statement involves a normative judgment or value judgment about what the government should do. It suggests a policy prescription rather than describing or explaining economic facts or behaviors.

2. A vast majority of the poor are not able to meet their basic nutritional needs.This statement provides a factual observation about the economic situation of the poor. It describes an economic reality without suggesting what should or should not be done about it. This aligns with positive economic analysis.

3. Poverty should be alleviated with the help of wage generation programmes. Similar to option 1, this statement includes a normative judgment about how poverty should be addressed. It implies a policy recommendation rather than objective analysis of economic facts.

4. Housing schemes must be accompanied with poverty alleviation programmes. Like options 1 and 3, this statement involves a normative judgment regarding the implementation of housing schemes. It suggests a specific policy approach rather than providing objective economic analysis.