Economic Models

question 91

Multiple Choice

Economic models

• A)are people who act out the behavior of firms and households so that economists can study this behavior.
• B)are usually detailed replications of reality.
• C)incorporate simplifying assumptions that often contradict reality,but also help economists better understand reality.
• D)are useful to researchers but not to teachers because economic models omit many details of the real-world economy.

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Definitions:

Depression

A psychological condition marked by ongoing experiences of sorrow, loss, or irritability that disrupt normal daily functions.

Psychiatric Medications

Drugs used to treat mental health disorders and affect the brain's chemistry to improve symptoms.

Pharmaceutical Companies

Organizations involved in the discovery, development, manufacturing, and marketing of drugs and medications.

Conflict of Interest

A situation in which a person's or organization's personal interests could potentially influence their professional decisions or actions.