The process of observing real-world behavior, developing hypotheses, testing them against facts, then using the results to construct theories is called
A) opportunity cost estimation.
B) the scientific method.
C) marginal analysis.
D) normative analysis.

Question

Quizplus · Accepted Answer

The scientific method involves observing real-world behavior, developing hypotheses, testing them against facts, and using the results to construct theories. Therefore, option B is the correct choice. Option A, opportunity cost estimation, involves determining the value of the next best alternative when making a decision. Option C, marginal analysis, focuses on analyzing the costs and benefits of incremental changes. Option D, normative analysis, is concerned with determining what should happen, based on subjective opinions or values. None of these options match the process of observing real-world behavior, developing hypotheses, testing them against facts, then using the results to construct theories, which is the scientific method.

The Process of Observing Real-World Behavior, Developing Hypotheses, Testing Them