The Best Test of an Economic Theory Is

question 159

Multiple Choice

The best test of an economic theory is:

• A)​the rigor of its mathematical formulation.
• B)​its ability to explain and predict.
• C)​the accuracy of its assumptions.
• D)​the level of real-world detail it captures.

---

Definitions:

Physical Strain

Stress or pressure applied to the body, often leading to fatigue or injury.

Information-Processing Requirements

The specific needs related to the collection, processing, and storage of data in an organization, influencing its informational systems design.

Mental Capabilities

Refers to the cognitive functions and processes that enable an individual to think, learn, reason, solve problems, and process information.

Job Design

The process of organizing tasks, duties, and responsibilities into a productive unit of work to enhance job satisfaction and performance among employees.