The "Other-Things-Constant" Assumption

question 128

Multiple Choice

The "other-things-constant" assumption:

• A) allows an economist to make useful predictions.
• B) is a prediction.
• C) applies only to consumers' decisions and not to those of firms.
• D) forces an economist to ignore reality, where things are constantly changing.
• E) implies rational self-interest on the part of all economic actors.

---

Definitions:

Group Polarization

A psychological phenomenon in which discussions within a group lead to the adoption of more extreme positions or attitudes than the initial inclinations of its members.

Controversial Issue

A subject that provokes strong and often opposing opinions, making it a topic of debate.

Group Polarization Effect

The tendency for group discussion to amplify the initial leanings of group members, leading to a more extreme position.

Extreme Opinion

A viewpoint that is significantly far from the mainstream or moderate perspectives, often showing a high level of intensity or fervor.