Multiple Choice
If a theory's predictions are incorrect,
A) then economists always reject it.
B) then the data used was clearly faulty.
C) then economists will likely reduce their confidence in the theory.
D) then the model must be too simple.
Correct Answer:

Verified
Correct Answer:
Verified
Q16: Explain why economists might disagree on the
Q18: Microeconomic models are used to<br>A)make predictions.<br>B)explain real-life
Q19: Behavioral economics is the study of why
Q21: Why might raising the price of a
Q22: Most private firms seek to<br>A)maximize revenue.<br>B)maximize profit.<br>C)minimize
Q24: Economic models are most useful in<br>A)explaining outcomes
Q27: Normative analysis offers decision makers the most
Q35: Economic models are most often tested<br>A) using
Q43: The purpose of making assumptions in economic
Q50: What is profit?