: SAGE: normative theory versus positive theory

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normative theory versus positive theory

In general, a positive theory is a theory that attempts to explain how the world works in a value-free way, while a normative theory provides a value-based view about what the world ought to be like or how it ought to work; positive theories express what is, while normative theories express what ought to be. Each of the social sciences, but particularly economics, has advanced both positive theories and normative theories. [Source: Encyclopedia of Business Ethics and Society; Normative Theory Versus Positive Theory]

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