Which of the following metaphors best expresses the scientific nature of economic theory?
A) like a wool sweater, economic theory warms the heart of the economist.
B) like a pair of eyeglasses, economic theory allows one to more clearly see and discriminate among the countless facts he or she faces.
C) like a gun, economic theory shoots holes through every other rival theory.
D) like a bank, economic theory is concerned with only one thing: the accumulation of money.
B
You might also like to view...
When a perfectly competitive firm decides to shut down, it is most likely that
a. marginal cost is above average variable cost. b. marginal cost is above average total cost. c. price is below the firm's average variable cost. d. fixed costs exceed variable costs.
The so-called Paradox of Thrift that became quite obvious in the Great Recession of 2007- 2009 refers to all of the following, except:
A. Saving may be virtuous for the individual, but it could be bad for the economy as a whole B. Consumers becoming thriftier may help long-term growth, but ironically reduces current output C. In trying to spend less now, consumers will end up spending more later on D. As individuals try to save more, the whole group may end up saving less as total income declines