The purpose of the ceteris paribus assumption used in economic analysis is to
A)avoid making normative statements.
B)distinguish macroeconomics from microeconomics.
C)make sure that all relevant factors are considered.
D)focus on the effect of a single factor on a certain variable.

Question

Quizplus · Accepted Answer

The ceteris paribus assumption allows economists to isolate the effect of one variable on another by holding all other relevant factors constant, thus simplifying the analysis.

The Purpose of the Ceteris Paribus Assumption Used in Economic