Using the Scientific Method to Approach an Economic Issue Involves

question 35

Multiple Choice

Using the scientific method to approach an economic issue involves

• A)finding the correct data to validate the theory.
• B)considering stock and flow variables.
• C)the use of controlled experiments to confirm the evidence presented by the data.
• D)building a theory to explain the issue and then determining if the theory can be refuted by evidence.
• E)formulating normative statements about it.

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Definitions:

Output Efficiency

The state of producing the maximum output with the minimum wasted effort or expense.

Productively

In a manner that results in a high degree of effectiveness or efficiency in producing desired outcomes.

Fully Utilizing

Making the most efficient use of resources, assets, or capacities to achieve their maximum potential output or productivity, often in the context of manufacturing processes or economic production.

Labor Force

The total number of people who are available to work, including both the employed and those seeking employment.