An Economic Model That Contains a Highly Realistic Set of Assumptions

question 18

Multiple Choice

An economic model that contains a highly realistic set of assumptions is

• A)necessarily better able to predict the future.
• B)superior to a model whose assumptions are highly unrealistic.
• C)more abstract than a model whose assumptions are further removed from reality.
• D)useful because there is then very little difference between "theory" and "reality".
• E)not likely to be useful because of its particularized nature and its intractability.

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Definitions:

Erikson

A psychologist known for his theory on the psychosocial development of individuals, which outlines eight stages from infancy to adulthood.

Development Throughout

The process of growth and change that occurs across the lifespan, affecting biological, cognitive, and social aspects of an individual.

Drive-reduction Theory

A theory in psychology suggesting that behavior is motivated by the desire to reduce internal tension caused by unmet needs.

Attachment Relationships

The emotional bonds formed between individuals, crucial for personal development and influencing lifelong relational patterns.