Other things equal assumption helps isolate key economic
Explain the statement: “The other things equal assumption helps isolate key economic relationships.”?
Expert
Natural scientists such as chemists or physicists can much more easily control experiments and test with great precision an assumed relationship between two variables. Economists have a much more difficult time trying to isolate key economic relationships. Nonetheless, the “other things equal assumption” is extremely important. Economists must test their theories using real world data, generated by the actual operation of the economy. Under these conditions “other things” do change and despite sophisticated statistical techniques, controls are less than perfect. As a result economics principles are less precise than those of laboratory sciences.
The state legislature has voted to develop a grant-in-aid policy to try and induce local communities to devote more resources to improving their infrastructure. Town O = Has an operating budget of $2 million; currently spends a tot
Briefly describe the term cost of capital and also illustrate out its significance?
Briefly describe the meaning of Modigliani- Miller (M and M) approach?
Explain the foundation of economics where society’s material wants are scarce resources?
The person along with, arguably, the top claim to the name “founder of modern economics”: (1) John Stuart Mill. (2) Karl Marx. (3) John Maynard Keynes. (4) Joan Robinson. (5) Adam Smith. Hello guys I wa
Explain how government might manipulate its expenditures and tax revenues to reduce unemployment?
Describe Spillovers and externalities?
Give a brief introduction of the term Cost of capital?
What do you understand by the term internal rate of return?
Describe the Promoting stability?
18,76,764
1957055 Asked
3,689
Active Tutors
1451327
Questions Answered
Start Excelling in your courses, Ask an Expert and get answers for your homework and assignments!!