When building a model, an economist must:
A) adjust for exceptional situations.
B) provide a complete description of reality.
C) make simplifying assumptions.
D) develop a set of behavioral equations.

Question

Quizplus · Accepted Answer

In order to make the model manageable and not overly complex, economists must make simplifying assumptions which allow them to focus on the key relationships and factors that drive economic behavior.

When Building a Model, an Economist Must