Which Statement Below Best Illustrates the "Art," Rather Than the "Science

question 35

Multiple Choice

Which statement below best illustrates the "art," rather than the "science," of macroeconomics?

• A)Macroeconomic data provide the motivation for new macroeconomic theory.
• B)Macroeconomic relationships can be expressed using symbols and equations.
• C)Macroeconomists must determine which simplifying assumptions clarify our thinking and which ones mislead us.
• D)Graphs and charts can be used to illustrate the history of macroeconomic variables.

---

Definitions:

Credits

In accounting, credits are entries that decrease assets or increase liabilities and equity on a company's balance sheet.

Bank Balance

The amount of money held in a bank account at a given moment.

Cash Account

An account that records all transactions involving cash, including receipts and payments.

Debit Balances

Balances in accounts that represent amounts spent or assets, as opposed to credits, which signify income or liabilities.