A) Demand decreases.
B) Demand remains unchanged.
C) Demand increases.
D) Supply increases.
Substitute goods are goods that can replace each other. If the price of one increases, consumers tend to switch to the other, increasing its demand. For example, if the price of tea rises, the demand for coffee (a substitute) will likely increase.
A) The government should reduce unemployment.
B) Increasing minimum wage will reduce employment among low-skilled workers.
C) Income inequality is unfair.
D) Everyone should have free access to education.
Positive statements are objective and testable, describing “what is” rather than “what ought to be.” Option B is a factual claim that can be analyzed and tested, whereas the other options are normative statements reflecting opinions or values.