It is difficult for economists to make observations and develop theories, but it is easy for economists to run experiments to generate data to test their theories.

Question

Quizplus · Accepted Answer

Economists often find it challenging to run controlled experiments due to ethical, practical, and logistical reasons, making it difficult to generate data to test theories directly. Instead, they rely on observations, historical data, and natural experiments.

It Is Difficult for Economists to Make Observations and Develop