Economic Models Are

question 98

Multiple Choice

Economic models are

• A)always based on laboratory methods similar to natural sciences.
• B)a simplified representations of the real world.
• C)used only in microeconomic analysis by households.
• D)used only in macroeconomic analysis by business firms.

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Definitions:

Empirical

Based on, concerned with, or verifiable by observation or experience rather than theory or pure logic.

Variables

Elements, factors, or conditions that can change and potentially influence outcomes in experimental or statistical contexts.

Causes

The reasons or factors that lead to certain effects, outcomes, or states of being.

Scientifically Innovative

Describes novel approaches, tools, or findings that significantly advance understanding or practices within the scientific field.