Logic is regarded as a normative science, whose norms, relatively to some given language, determine the nature of “concepts,” “meaningful sentences,” and “correct inferences.” Among meaningful sentences are included not only propositions (Aussagen) but also requi- sition sentences (Forderungssatze).

Aristotle does not believe that the purpose of logic is to prove that human beings can have knowledge. (He dismisses excessive scepticism.) The aim of logic is the elaboration of a coherent system that allows us to investigate, classify, and evaluate good and bad forms of reasoning.

Definition Logic is for constructing proofs, which give us reliable confirmation of the truth of the proven proposition. OR The term “logic” is used quite a lot, but not always in its technical sense. Logic, strictly speaking, is the science or study of how to evaluate arguments and reasoning.

Beyond Positive Science. Positive science is the application of formal analysis to empirical science. We do not wish to overstate the scope of such applications, and recognise the possibility that valuable scientific results might be obtained whose character defies formal analysis.

d. Watson (1878-1950). According to Behaviourists – Psychology is the science of behaviour. Watson says, “Psychology is the Positive Science of behaviour “. Behaviour can be successfully studied by several means, besides the simple method of serving it.

Scientific economics, normally referred to as positive economics, attempts to determine ‘what is’ or ‘what will be’. Positive statements, assertions or theories may be simple or complex, but they are basically about matters of fact.

Adam Smith was an 18th-century Scottish economist, philosopher, and author, and is considered the father of modern economics. Smith is most famous for his 1776 book, “The Wealth of Nations.”

Here’s an example of a positive economic statement: “Government-provided healthcare increases public expenditures.” This statement is fact-based and has no value judgment attached to it. Its validity can be proven (or disproven) by studying healthcare spending where governments provide healthcare.

John Neville Keynes (1891) and Milton Friedman, in an influential 1953 essay, elaborated on the distinctions between positive and normative economics. Positive economics is sometimes defined as the economics of “what is”, whereas normative economics discusses “what ought to be”.

‘ According to Pigou, Marshall etc., economics is also considered as an art. In other way, art is the practical application of knowledge for achieving particular goals. According to Cossa, science and art are complementary to each other. Hence, economics is considered as both a science as well as an art.

Money has three primary functions. It is a medium of exchange, a unit of account, and a store of value: Medium of Exchange: When money is used to intermediate the exchange of goods and services, it is performing a function as a medium of exchange.

These primary functions of banks are explained below.

• Accepting Deposits. The bank collects deposits from the public.
• Granting of Loans and Advances. The bank advances loans to the business community and other members of the public.
• Agency Functions. The bank acts as an agent of its customers.
• General Utility Functions.

The characteristics of money are durability, portability, divisibility, uniformity, limited supply, and acceptability.

whatever serves society in four functions: as a medium of exchange, a store of value, a unit of account, and a standard of deferred payment.