An economist at the University of Alaska at Anchorage has been asked to explain why the price of Alaskan crude oil has fallen recently. In order to assemble a scholarly answer, the professor should take which steps?
a. Develop a hypothesis, test the proposition by engaging in empirical analysis, and examine the data to see if it fits with the facts.
b. Gather data on crude oil prices and
seemingly unrelated variables in order to look for associations, then formulate a hypothesis based on those unexpected associations.
c. Ask people in Alaska why they are not purchasing oil.
d. None of the above. The oil industry is controlled by a cartel; therefore price changes in the industry cannot be explained using economic theories.
a
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India's rapid growth can be explained by
A) reduced regulations and market-based reforms. B) an increase in labor force participation. C) investment in human capital from 1947 through 2015. D) the movement of workers from the agricultural sector to the manufacturing sector.
Most researchers agree that the New Deal positively impacted
(a) employment and overall production. (b) wages, working conditions and working hours. (c) electricity production and use of it as power. (d) all of the above.
The slope of the total variable cost curve gives the average cost of production
Indicate whether the statement is true or false
The price elasticity of demand measures the responsiveness of changes in price to the quantity demanded.
Answer the following statement true (T) or false (F)