An Economic Theory Is Tested By

question 118

Multiple Choice

An economic theory is tested by:

• A)​assessing the realism of its assumptions.
• B)​polling economists to see if there is consensus as to the validity of the hypothesis.
• C)​comparing and contrasting its simplicity with related theories.
• D)​comparing its predictions with real-world data.

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Definitions:

Bipolar Disorder

A mental disorder marked by extreme mood swings from manic highs to depressive lows, affecting one’s energy, judgment, and ability to think clearly.

Manic Phase

A period of abnormally elevated mood, energy, and activity levels, typically seen in bipolar disorder, characterized by excessively high self-esteem, decreased need for sleep, and increased talkativeness.

Overactive

Describes a condition or behavior characterized by being excessively active or difficult to control.

Uncontrollable Grief

Uncontrollable grief refers to an overwhelming and persistent feeling of sadness and loss, which can significantly impair daily functioning and quality of life.