Suppose Economists at the Department of Finance in Ottawa Employ

question 88

Multiple Choice

Suppose economists at the Department of Finance in Ottawa employ an economic model that predicts the effects of an increase in the GST.After implementation of the change,researchers find that the empirical data is in conflict with the theory.They are likely to

• A)modify the prediction in light of the new evidence.
• B)ignore the empirical evidence and continue using the model.
• C)modify the theory in light of this newly acquired empirical knowledge.
• D)reject the empirical data as faulty because it did not support the theory.
• E)modify the data to suit the definitions and assumptions.

---

Definitions:

Ultraviolet Radiation

A type of electromagnetic radiation with wavelengths shorter than visible light but longer than X-rays, capable of causing chemical reactions and damage to living organisms.

X-rays

A form of electromagnetic radiation with a wavelength shorter than that of UV rays, commonly used in medicine for imaging internal structures.

Myosin

Muscle protein making up the thick filaments in a sarcomere; it pulls actin to shorten the sarcomere, yielding muscle contraction. See also actin.

Insulin

Hormone, released by the pancreas, that serves to lower blood glucose levels by stimulating the uptake of glucose by cells, especially muscle and liver cells.