An Economic Hypothesis Will Be Rejected When

question 48

Multiple Choice

An economic hypothesis will be rejected when

• A)the possibility of error has been completely eliminated.
• B)a single empirical observation is encountered in which its predictions fail.
• C)the probability that it is wrong, based on repeated empirical observations, is judged to be unacceptably high.
• D)it is rejected by a single empirical observation.
• E)one or more of the assumptions on which it is based fails to conform with reality.

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Definitions:

Entrepreneurs

Individuals who start, organize, manage, and assume the risks of a business or enterprise, often innovating and creating new products or services.

Easily Discouraged

Quick to lose confidence or enthusiasm in the face of challenges or setbacks.

Entrepreneurs

Individuals who initiate, manage, and assume the risks of starting and operating a new business venture.

Setbacks

Unforeseen events or challenges that slow progress or cause plans to be revised.