Normative economics is a branch of economics that deals with value judgments and opinions on economic policies, statements, and projects, and is concerned with what should be, rather than what is. It evaluates situations and outcomes of economic behavior as morally good or bad. Here are some key characteristics of normative economics:

• Value judgments: Normative economics is based on value judgments and statements of what "ought" to be, rather than objective data analysis.

• Subjectivity: Normative economics is subjective and value-based, originating from personal perspectives or opinions involved in the decision-making process.

• Ideal circumstances: Normative economics emphasizes the way an economy should work under ideal circumstances.

• Evaluation of policies: Normative economics evaluates economic policies and outcomes and makes recommendations for policy based on ethical or moral principles, political ideology, or other normative frameworks.

• Cannot be tested: Normative economic statements cannot be verified or tested.

An example of a normative economic statement is "The government should provide basic healthcare to all citizens". In contrast, a positive economic observation would be "Based on past data, big tax cuts would help many people, but government budget constraints make that option unfeasible".