Final answer:
The statement in question is a normative statement because it expresses a value judgment about pollution being the most serious economic problem, which is subjective and cannot be tested empirically.
Step-by-step explanation:
The statement 'Pollution is the most serious economic problem' is a normative statement. Normative statements are based on opinions, values, or beliefs about what ought to be or what is desirable. They are subjective and cannot be tested or proved true or false. On the other hand, positive statements are based on factual assertions about the world that can be tested or verified.
In the context of economics, discussing the problem of pollution involves understanding the trade-offs between economic production and environmental quality. Economies, whether high-income or low-income, market-oriented or command-oriented, face the challenge of balancing these factors. Economists have proposed various policies for environmental protection, including traditional governmental limits on pollutants, as well as more flexible, market-oriented policies to reduce pollution at lower costs.
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