What do economists do when they attempt to simplify the real world and make it easier to understand?
A) They make assumptions.
B) They make uninformed judgments.
C) They make predictions.
D) They make evaluations.

Question

Quizplus · Accepted Answer

Economists make assumptions in order to simplify the complexities of the real world and create models that are easier to understand and analyze. These assumptions may not always reflect reality perfectly, but they allow economists to make predictions and evaluations based on logical and consistent theoretical frameworks.

What Do Economists Do When They Attempt to Simplify the Real