Which Statement About Economic Models Is FALSE

question 302

Multiple Choice

Which statement about economic models is FALSE?

• A) In practice, it is easy for an economist to isolate economic variables.
• B) Economists hold all other variables constant in order to see the impact of one particular variable.
• C) Economic models lead to economic theories that must be tested.
• D) Economic models are built using assumptions.

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Definitions:

Systemic Perspective

An approach that considers individuals, entities, or problems as parts of a larger, interconnected whole, emphasizing relationships and interactions.

Family's Boundaries

Family's boundaries refer to the rules and limits that define acceptable behavior and interactions within the family unit and between the family and external entities.

Cultural Variables

Elements that differ from one culture to another, influencing beliefs, behaviors, and values.

Homeostasis

A concept from systems theory referring to the tendency of a system, including biological and psychological systems, to maintain internal stability and equilibrium.