The ceteris paribus assumption is important in economics because
A) all empirical data are equal.
B) it would be impossible to relate the changes in one variable to another variable without holding other variables constant.
C) economic data move very slowly over time and so they can always be considered constant.
D) models are always complex and require as many variables as possible.
Correct Answer:
Verified
Q181: Why is economics called an empirical science?
A)
Q182: Ceteris paribus means
A) making all the necessary
Q183: One problem with constructing a perfectly complete
Q184: Professor's economics students are constructing models for
Q185: Which of the following statements about economic
Q187: The assumption that "other things are constant"
Q188: Economic models
A) are used to explain how
Q189: An economic model should capture
A) the essential
Q190: Holding all variables constant but one and
Q191: The term ceteris paribus means
A) the greatest
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