Suppose That a Particular Theory Predicts That on Monday,Wednesday,and Friday

question 10

Multiple Choice

Suppose that a particular theory predicts that on Monday,Wednesday,and Friday the stock market will rise and that on Tuesday and Thursday the stock market will fall.If an economist tests this theory and finds that over a six- month period the theory predicts accurately,the economist would likely say that the theory

• A)has been proven correct.
• B)shouldn't be taken seriously.
• C)is reliable.
• D)is not rejected by the evidence.
• E)is not useful because stock markets involve irrational human behaviour.

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Definitions:

Supremacy Clause

Article VI, Section 2 of the U.S. Constitution, which allows a Supreme Court ruling to be binding on state courts if involving a constitutional issue. The clause reads: “This Constitution, and the Laws of the United States which shall be made in pursuance thereof; and all treaties made, or which shall be made, under the authority of the United States, shall be the supreme law of the land; and the judges in every state shall be bound thereby, anything in the Constitution or laws of any state to the contrary notwithstanding.”

Laws

The system of rules that a country or community recognizes as regulating the actions of its members and may enforce by the imposition of penalties.

Congress

The national legislative body of a country, particularly in the United States, responsible for making laws.

Beyond A Reasonable Doubt

Being sure of a criminal defendant’s guilt to a moral certainty.