The usefulness of a model is determined by whether it yields usable predictions for the real world. O whether it possesses realistic assumptions. O how well it uses the ceteris paribus assumption. O how many of the possible relationships that exist are included in the model.

The usefulness of a model is determined by whether it yields usable predictions for the real world. O whether it possesses realistic assumptions. O how well it uses the ceteris paribus assumption. O how many of the possible relationships that exist are included in the model.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Concept explainers

Comparative Advantage and Absolute Advantage Analysis

The theory of absolute advantage was given by Adam Smith in the year 1776.

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The usefulness of a model is determined by
whether it yields usable predictions for the real world.
whether it possesses realistic assumptions.
O how well it uses the ceteris paribus assumption.
O how many of the possible relationships that exist are included in the model.

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