One thing economists do to help them understand how the real world works is
A)make assumptions.
B)ignore the past.
C)try to capture every aspect of the real world in the models they construct.
D)All of the above are correct.

Question

Quizplus · Accepted Answer

Economists make assumptions in order to simplify the real world and make it easier to model and analyze. These assumptions may not capture every aspect of the real world, but they are necessary for economists to be able to make predictions and test economic theories. Ignoring the past or trying to capture every aspect of the real world would not be helpful in understanding how the real world works.

One Thing Economists Do to Help Them Understand How the Real