Question: When constructing an economic model, economists a. rely mostly on their own value judgments and ignore the far more complex world of facts b. always

When constructing an economic model, economists

a.

rely mostly on their own value judgments and ignore the far more complex world of facts

b.

always try to duplicate reality by including all available information

c.

use assumptions that are true for the individual but never true for the whole economy

d.

must rely on simplifying assumptions that abstract from the complexity of the real world

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!

Q:

All economic models must involve simplifications because: a . reality is too complex to understand in its entirety, so we must reduce the complexity to a level that we can understand. b . economists...

Q:

All economic models must involve simplifications because a. economists would be unable to command high salaries if their models were so simple that anyone could understand them b. human behavior is...

Q:

All economic models must involve simplifications because: a . they always try to duplicate all possible information and cover all possible variables that might influence decision making. b . we must...

Q:

Please analyze and contrast the Introduction and Literature Review of the articles below. Paul Krugman by Jason Briggeman30 Paul Krugman (1953-) was raised on Long Island "in a safe middle-class...

Q:

Please help me to write a summary for attached article (about 900 words) Accounting Horizons Vol. 22, No. 4 2008 pp. 453-470 American Accounting Association DOI: 10.2308/acch.2008.22.4.453 On the...

Q:

Please explain and give it a try, any try would be great, please summarise these readings by some points form and if you were to come up with an exam question, what question would you come up? from...

Q:

Good explanations to this problem please! Please try! Larry Elliot is the economics editor at The Guardian. The Guardian is somewhat notorious among economists for repetitively reproducing a somewhat...

Q:

Larry Elliot is the economics editor at The Guardian. The Guardian is somewhat notorious among economists for repetitively reproducing a somewhat out-of-touch critique of economics, one example of...

Q:

Larry Elliot is the economics editor at The Guardian. The Guardian is somewhat notorious among economists for repetitively reproducing a somewhat out-of-touch critique of economics, one example of...

Q:

Board CHAPTER 1 Economics: Foundations and Models n this book, we use economics to answer questions such as the following What determines the prices of goods and services from bottled water to smart...

Q:

Gross Margin Return on Investment (GMROI) GMROI is the relationship between the average inventory at cost and gross margin. GMROI is used to analyze a retailers inventory and incorporate how fast...

Q:

A firm estimates that it can sell Qunits of its product with an advertising expenditure of x thousand dollars where Q = Q(x) = -x + 600x + 25 i) Over what level of advertising expenditure is the...

Q:

Beck Inc. and Bryant Inc. have the following operating data: Beck Inc.Bryant Inc.Sales$ 3 2 7 , 3 0 0 $ 9 3 5 , 0 0 0 Variable costs 1 3 1 , 3 0 0 5 6 1 , 0 0 0 Contribution margin$ 1 9 6 , 0 0 0 $ 3...

Q:

6. [20 points] A project for upgrading a point-of-sale system at a local business has following Precedence relationships and activity times. The tasks and predecessor relationships are shown as...

Q:

Identify someone you think is an excellent public speaker. List at least five qualities that this person possesses that make him or her an effective speaker. (Objectives 1, 2, and 3)

Q:

What advice would you give to a coworker who declines invitations to speak to professional and community groups because he or she is too scared? (Objective 6)

Q:

Teamwork. Form groups of four to five students. Have each person in the group speak for one minute on one of the following topics (no two persons in the group should speak on the same topic): a. Ways...