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JAMB Economics 2012 Objective — Question 3

Question 3 of 50 from the Joint Admissions and Matriculation Board (JAMB) Economics 2012 Objective paper, with the correct answer and a full explanation.

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The privatisation of public enterprises will lead to efficient management of resources in the economy. This statement can best be described as

  • A. normative reasoning
  • B. inductive reasoning
  • C. deductive reasoning
  • D. positive reasoningCorrect

Explanation

Positive economic reasoning is a factual statement and it is testable, that privatization leads to greater efficiency. It is a factual statement because there will be better supervision and close monitoring.

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