Economists Face an Obstacle That Many Other Scientists Do Not

question 215

Multiple Choice

Economists face an obstacle that many other scientists do not face.What is that obstacle?

• A)It is often difficult to formulate theories in economics.
• B)It is often impractical to perform experiments in economics.
• C)Economics cannot be addressed objectively;it must be addressed subjectively.
• D)The scientific method cannot be applied to the study of economics.

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Definitions:

Current Account Deficit

A situation where a country's total imports of goods, services, and transfers exceed its total exports, indicating it is spending more abroad than it is earning.

Capital Account Surplus

Occurs when a country has more incoming foreign investments and transfers than outgoing, influencing the nation's balance of payments and potentially affecting its currency value.

Gold Standard

A monetary system where a country's currency or paper money has a value directly linked to gold.

Trade Deficit

A situation occurring when a country's imports exceed its exports, resulting in a negative balance of trade.