What is meant by empiricism? How do empiricists use hypotheses?
What will be an ideal response?
Empirical evidence is a set of facts established by observation and measurement, which are used to evaluate a model. Empiricism refers to the practice of using data to test economic models. When conducting empirical analysis, economists refer to a model's predictions as hypotheses. Hypotheses are predictions (typically generated by a model) that can be tested with data.
Economics