Important characteristics of macroeconomic models include all of the following except:
A)simplifying assumptions.
B)functional relationships based on randomized control trials.
C)endogenous and exogenous variables.
D)implicit or explicit consistency with microeconomic foundations.

Question

Quizplus · Accepted Answer

Macroeconomic models typically do not rely on functional relationships based on randomized control trials; instead, they use theoretical assumptions and observed data to establish relationships.

Important Characteristics of Macroeconomic Models Include All of the Following