Sign In
Ask Question
Social Studies
Javier
26 July, 03:32
Why does theory not match reality? in economics
+4
Answers (
1
)
Paityn Moreno
26 July, 07:23
0
Economic theory tries to represent reality using models.
Models are simplifications of the real world. A set of assumptions is used to build that simplification. Models are constituted by a group of variables, and mathematical relationships are established among them.
Even tough the simplifications contained in models entail certain limitations, economic models are useful to draw conclusions, starting from a simpler scenario, which afterwards can be applied to analyze complex real structures theoretically.
Comment
Complaint
Link
Know the Answer?
Answer
Not Sure About the Answer?
Get an answer to your question ✅
“Why does theory not match reality? in economics ...”
in 📙 Social Studies 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
What preceded English settlement along the Atlantic coast?
Answers (1)
What does it mean to amend the constitution
Answers (1)
Wyoming police were told that Barekman was selling large quantities of marijuana from his residence. The police went to Barekman's residence and took a bag of trash out of a trashcan in front of the residence.
Answers (1)
Live fast and die young, thats what i always say rosie pronounces as she stuffs down three more ding dong snack cakes and opens another pint of high-fat icecrea,. rosie knowns that her diet is unhealthy and harmful, of course.
Answers (1)
If kirsten believes in the saying, "boys and girls are more alike than different," she is clearly a fan of
Answers (1)
New Questions in Social Studies
Unaliable rights are
Answers (2)
But it naturally raises the question of how, in Rogerian theory, one could explain the personality of people who seem oriented toward evil rather than positively-oriented growth. In other words, what about Hitler? Mass murderers? Etc.
Answers (1)
Higher prices caused by ___ meant fewer people would buy cars this year.
Answers (1)
South and Southeast Asia are the regions that have experienced the greatest challenges from the AIDS crisis. T/F
Answers (2)
What happens if you get a f in sixth grade?
Answers (1)
Home
»
Social Studies
» Why does theory not match reality? in economics
Sign In
Sign Up
Forgot Password?