Which of the Following Statements About Economic Methodology Is Correct

question 68

Multiple Choice

Which of the following statements about economic methodology is correct?

• A)An economic law is a cause-and-effect relationship that has been verified by a controlled experiment.
• B)The test of a theory's validity is its usefulness in explaining reality.
• C)An economic law is a statement about group behavior that is based on the observed behavior of a single individual.
• D)An economic law, because it is based on probabilities, can only be expected to be true about half the time.
• E)Assumptions are ignored in the development of hypotheses.

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CICA Handbook

A set of guidelines and standards for accounting practices in Canada, as published by the Canadian Institute of Chartered Accountants.

Government NFP Organizations

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Public Sector Accounting Handbook

A comprehensive guide detailing accounting practices, standards, and principles to be applied in the public sector.

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