An Economic Model

question 62

Multiple Choice

An economic model

• A) uses equations to understand normative economic phenomena
• B) often omits crucial elements
• C) simplifies reality in order to focus on crucial elements
• D) tries to make simple concepts more complex
• E) cannot be proven wrong

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Definitions:

Regulations

Rules or directives made and maintained by authorities to regulate behavior or ensure standards.

Ecology

The branch of biology that deals with the relations of organisms to one another and to their physical surroundings.

Emerged

Came into being or became noticeable or prominent in a particular context or area.

Inexhaustible Resources

Natural resources that are unlimited in supply and cannot be depleted, such as solar and wind energy.