The process of examining a change in one variable in a model while assuming that all the other variables remain constant is called:
A) external factors.
B) ceteris paribus.
C) normative analysis.
D) positive analysis.
E) faulty assumptions.

Question

Quizplus · Accepted Answer

Ceteris paribus is the process of analyzing how a change in one variable affects the outcome while keeping all other variables constant. This technique is commonly used in economic analysis and modeling to isolate the effect of a specific factor. The other answer choices are not relevant to this concept.

The Process of Examining a Change in One Variable in a Model