State whether the following statements belong in positive economics, normative economics, or the art of economics. a.

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State whether the following statements belong in positive economics, normative economics, or the art of economics.

a. In a market, when quantity supplied exceeds quantity demanded, price tends to fall.

b. When determining tax rates, the government should take into account the income needs of individuals.

c. Given society’s options and goals, a broad-based tax is generally preferred to a narrowly based tax.

d. California currently rations water to farmers at subsidized prices. Once California allows the trading of water rights, it will allow economic forces to be a market force.

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Macroeconomics

ISBN: 978-1259663048

10th edition

Authors: David C. Colander

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