An economist at the University of Alaska at Anchorage has been asked to explain why the price of Alaskan crude oil has fallen recently. In order to develop a model, the professor should take which steps? a. Identify the problem, develop a model based on simplifying assumptions and test the model to formulate a conclusion.
b. Gather data on crude oil prices and seemingly unrelated variables to look for associations, then formulate a hypothesis based on those unexpected associations.
c. Ask people in Alaska why they are not purchasing oil.
d. None of these. The oil industry is controlled by a cartel; therefore price changes in the industry cannot be explained using economic theories.
Answers (1)
Know the Answer?
Not Sure About the Answer?
Get an answer to your question ✅ “An economist at the University of Alaska at Anchorage has been asked to explain why the price of Alaskan crude oil has fallen recently. In ...” in 📙 Business if there is no answer or all answers are wrong, use a search bar and try to find the answer among similar questions.
Search for Other Answers
You Might be Interested in
Michael is the new department head at his company. he expects everyone to agree with his restructuring plan for the department, and he publicly reprimands anyone who disagrees with his new policies.
Answers (1)
In which category do commodities belong? long-term investment only short-term investment only either short - or long-term investment neither short - nor long-term investment
Answers (1)
The purpose of this category of interview questions is to determine how an applicant performs under pressure.
Answers (1)
When Building a Pallet to be shipped over the road, How Should The cases Be Placed On The Pallet?
Answers (1)
For each statement below, select either "Advantage" or "Disadvantage" to classify them with regard to the Simplified Method for determining the office in the home deduction. a.
Answers (1)
New Questions in Business
Tombert Decorating uses a job order cost system to collect the costs of its interior decorating business. Each client's consultation is treated as a separate job. Overhead is applied to each job based on the number of decorator hours incurred.
Answers (1)
Suppose that cookie producers create a positive externality equal to $2 per dozen. What is the relationship between the equilibrium quantity and the socially optimal quantity of cookies to be produced? a. They are equal. b.
Answers (1)
Comfort Cloud manufactures seats for airplanes. The company has the capacity to produce 100,000 seats per year, but currently produces and sells 75,000 seats per year.
Answers (2)
In 2016, teller company sold 3,000 units at $600 each. variable expenses were $420 per unit, and fixed expenses were $240,000. what was tellers 2016 net income?
Answers (1)
IFRS accounting for impairments differs from GAAP in which of the following ways? (a) IFRS uses only a recoverability test in testing for impairment. (b) IFRS prohibits write-ups for recoveries of impairments for assets held for sale.
Answers (1)