Normative statement

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In economics, a normative statement expresses a judgment about whether a situation is desirable or undesirable. "The world would be a better place if the moon were made of green cheese" is a normative statement because it expresses a judgment about what ought to be. Notice that there is no way of disproving this statement. If you disagree with it, you have no sure way of disproving someone who believes the statement that he or she is wrong.

Antonym: positive statement

Related: Normative economics, Positive economics

[edit] External links

• Economae: An Encyclopedia