The purpose of the ceteris paribus assumption is to allow economists to
A) determine the relationship among several variables.
B) determine the impact of several variables on another variable.
C) isolate the impact of one variable on several variables.
D) isolate the relationship between two variables.

Question

Quizplus · Accepted Answer

The ceteris paribus assumption is used to isolate the relationship between two variables by holding other factors constant, allowing economists to examine the effect of one variable on another without the interference of changing external factors.

The Purpose of the Ceteris Paribus Assumption Is to Allow