In an Economic Model, Assumptions

question 221

Multiple Choice

In an economic model, assumptions

• A) must be applicable to all real-world situations.
• B) must be eliminated before being used to make sure the model is realistic.
• C) are not important in determining the usefulness of the model.
• D) define the set of circumstances in which the model is most likely to be applicable in the real world.

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Definitions:

Productivity

The efficiency at which goods or services are produced, especially in terms of the amount produced compared to the amount of resources used.

Sexual Harassment

Unwanted and inappropriate sexual remarks or physical advances in a workplace or other professional or social situations.

Illegal

Contrary to or forbidden by law; unlawful.

Unethical

Acting in a way that is morally wrong or not conforming to accepted standards of behavior.