Why do economists use models?
A) Models are used to add complexity to a simple world.
B) Models allow us to study a simplified version of a complex world.
C) Models allow us to control exogenous factors.
D) Models make the world harder to understand.
E) Models allow us to examine more factors than what actually exists in our world.

Question

Quizplus · Accepted Answer

Economists use models to study a simplified version of a complex world. This allows them to isolate certain variables and study their impact on the economy without the interference of other exogenous factors.

Why Do Economists Use Models