Conditions held to be true in developing an economic model are:
A) assumptions.
B) economic theories.
C) variables of the model.
D) conclusions of the model.

Question

Quizplus · Accepted Answer

Assumptions are conditions that are accepted as true or as certain to happen, without proof, in the development of economic models. These assumptions simplify the complex real-world economic situations to make them more manageable for analysis.

Conditions Held to Be True in Developing an Economic Model