Even when econometric equations predict very well,they can be entirely useless as guides to policy.

Question

Quizplus · Accepted Answer

Econometric equations may provide accurate predictions, but policy decisions must consider a range of factors beyond just economic data. Factors such as ethical considerations, political considerations, and social considerations are also important. Therefore, even though econometric equations may predict well, they may not be useful as guides to policy.

Even When Econometric Equations Predict Very Well,they Can Be Entirely