If an economic model includes an assumption that there are only two nations in the world, this would be an example of

a. a critical assumption
b. an implicit assumption
c. a simplifying assumption
d. a concrete assumption
e. a detail assumption


C

Economics

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In the United States, the most commonly cited measure of the price level is the consumer price index

Indicate whether the statement is true or false

Economics

Free riders are not a problem in the market for a private good because

A) non-payers can be excluded from consuming the good. B) the good is a rival good. C) the good can be produced only at a positive marginal cost. D) the free rider will not get caught.

Economics

Assume the price elasticity of demand for a good is -3. In this case, a decrease in price would result in marginal revenue of (2/3)P

Indicate whether the statement is true or false

Economics

Refer to Scenario 7.3. Which of the following combinations of inputs is on the isoquant to produce 400 units of output?

A) L = 0, K = 400 B) L = 400, K = 0 C) L = 100, K = 100 D) all of the above E) A and B, but not C

Economics