Positive and normative economic theory

Most of economic theory explains how the economy operates, as a society decide key economic task. She describes, analyzes, but does not give recommendations. This approach is called a positive and analytical part of economic theory - positive economic theory. Thus, the positive economics explains why Russia in the volume of production of goods and services for the 1990-1998's. fell by more than 45%.

In contrast to the positive normative economic theory provides advice, recipes action. Naturally, this is part of economic theory, which causes the greatest controversy among economists. Thus, Russian economists propose very different ways of enhancing economic growth in Russia and addressing key economic challenges.