Consider an economic model designed to analyze the purchasing decisions of households. An assumption that a household chooses between only two goods would be an example of a

a. simplifying assumption
b. critical assumption
c. macroeconomic assumption
d. financial assumption
e. positive assumption

A

Economics

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The demand for a particular brand of automobile is likely to be more inelastic than the demand for automobiles in general

a. True b. False

Economics

If the dollar fell by 35% relative to the other currencies, our current account deficit would

A. rise sharply. B. rise slightly. C. not be affected. D. fall sharply.

Economics