An Economist at the University of Alaska at Anchorage Has

question 33

Multiple Choice

An economist at the University of Alaska at Anchorage has been asked to explain why the price of Alaskan crude oil has fallen recently. In order to develop a model, the professor should take which steps?

• A) Identify the problem, develop a model based on simplifying assumptions and test the model to formulate a conclusion.
• B) Gather data on crude oil prices and seemingly unrelated variables to look for associations, then formulate a hypothesis based on those unexpected associations.
• C) Ask people in Alaska why they are not purchasing oil.
• D) None of these. The oil industry is controlled by a cartel; therefore price changes in the industry cannot be explained using economic theories.

Foster critical thinking and debate skills through the exploration of various viewpoints on truth.

Encourage creative expression in the presentation of philosophical concepts.

Promote understanding of how philosophical theories of truth can be applied to real-life situations.

Understand the philosophical views on the interaction between mental events and physical events.

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Definitions:

Factor Comparison Method

A systematic technique for evaluating job positions by comparing them based on key factors such as skills, responsibilities, and working conditions, to determine appropriate compensation.

The Point Method

A technique used in job evaluation that assesses jobs on the basis of a series of factors that are each given a point value.

Job Evaluation Method

A systematic process for determining the relative worth of jobs within an organization by analyzing their duties, responsibilities, and requirements.

Compensable Factors

Elements of a job that are used to determine appropriate compensation, such as skill level, effort, responsibility, and working conditions.