Choose the Statement That Best Characterizes an Economic Theory

Multiple Choice

Choose the statement that best characterizes an economic theory.An economic theory

A) must be judged on its ability to explain and predict real- world phenomena.
B) is only useful if its underlying assumptions are realistic.
C) will predict more accurately if it contains a greater number of mathematical equations.
D) will be useful only if all human behaviour is rational.
E) will be useful as long as it is logically consistent.