Someone notices that sunspot activity is high just prior to recessions and concludes that sunspots cause recessions. This person has:
A) confused association and causation.
B) understood the economy very well.
C) used normative economics to answer a positive question.
D) built an untestable model.
Correct Answer:
Verified
Q40: Economics is the study of how people:
A)
Q41: An economic model is useful only if
Q42: Ceteris paribus means:
A) allowing everything else changing.
B)
Q43: 'An increase in the federal minimum wage
Q44: Which of the following is a statement
Q46: Economists:
A) never use data and tables.
B) never
Q47: If the price of textbooks rises and
Q48: The statement: 'John buys more of good
Q49: An economic theory claims that a rise
Q50: An economic model:
A) cannot be rejected.
B) cannot
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