Which Is a Characteristic of Economic Models

question 85

Multiple Choice

Which is a characteristic of economic models?

• A) They try to boil down an economic situation to its most basic elements.
• B) They are always complex because the economy is complex.
• C) They attempt to reproduce reality exactly.
• D) They try to avoid invoking the ceteris paribus assumption.

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Definitions:

Statutory Assignment

The transfer of rights or benefits from one party to another as permitted or dictated by statute.

Chose in Action

A personal right to property that is recoverable through legal action, such as debts owed or rights in a contract.

Contract Mistakes

Errors made by one or more parties that can affect the validity and enforceability of a contract.

Constructive Trust

A trust inferred by the courts to benefit a third party to a contract.