A valid and useful theory of gold prices:
A) helps to predict the movements of gold prices over time.
B) may be founded on simplifying assumptions.
C) need not exactly predict every change in gold prices.
D) all of the above
E) none of the above

Question

Quizplus · Accepted Answer

A valid and useful theory of gold prices should help predict the movements of gold prices over time but may be founded on simplifying assumptions and need not exactly predict every change in gold prices. All of these criteria contribute to the overall usefulness of the theory.

A Valid and Useful Theory of Gold Prices