The Scientific Purpose of Simplifying Assumptions in an Economic Model

question 60

Multiple Choice

The scientific purpose of simplifying assumptions in an economic model is to

• A)avoid confronting difficult issues.
• B)eliminate the need for further testing of the implications of the model.
• C)abstract from the complexities of the real world those issues that are not important for the issues under examination.
• D)eliminate the possibility of personal bias in the model.
• E)add necessary hypotheses to the problem.

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Definitions:

Z-Score

A numerical indicator that represents how a specific value compares to the average of a set of values, expressed through the number of standard deviations away from this average.

Standard Deviation

A measure of the amount of variation or dispersion of a set of values, indicating how much the values deviate from the mean of the set.

Free Throw Percentages

A statistical measure in basketball that represents the ratio of free throws made to the total number of free throw attempts.

Tournament

A competition involving a relatively large number of competitors, all participating in a sport or game.