The best test of an economic theory is:
a. the rigor of its mathematical formulation.
b. its ability to explain and predict
c. the accuracy of its assumptions.
d. the level of real-world detail it captures.
b
Economics
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Money market mutual funds are included in
A) M1. B) M2. C) both M1 and M2. D) neither M1 nor M2.
Economics
What is the principal-agent problem? What are three ways in which firms try to cope with it?
What will be an ideal response?
Economics
If the index of intra-industry trade is high, products are probably ______, and costs in both nations are ______.
a. identical; different b. differentiated; similar c. identical; similar d. differentiated; different
Economics
Disposable personal income:
A. includes personal income taxes. B. excludes personal income taxes. C. excludes transfer payments. D. is income spent for personal items such as homes and cars.
Economics