When President Harry Truman said that he wanted to find a one-armed economist because his economic advisors always said, "On the one hand... and on the other hand... " he recognized that the advice of economists is often open to more than one interpretation. Why is this?
A)Economists cannot make up their minds on policy matters.
B)Economists agree with each other on all policy issues.
C)Economists are aware that tradeoffs are involved in most policy questions.
D)Economists are often unable to identify the critical questions involved in policy issues.

Question

When President Harry Truman said that he wanted to find a one-armed economist because his economic advisors always said, "On the one hand... and on the other hand... " he recognized that the advice of economists is often open to more than one interpretation. Why is this?
A)​Economists cannot make up their minds on policy matters.
B)​Economists agree with each other on all policy issues.
C)​Economists are aware that tradeoffs are involved in most policy questions.
D)​Economists are often unable to identify the critical questions involved in policy issues.

Quizplus · Accepted Answer

Economists recognize that most policy questions involve tradeoffs, meaning that there are costs and benefits to any decision. Therefore, there can be more than one valid interpretation or recommendation for a given situation.

When President Harry Truman Said That He Wanted to Find