Asked by
Babette Minnaar
on Oct 25, 2024
Verified
Use the following two statements to answer this question: I. Economic theories are developed to explain observed phenomena by deducing from a set of basic rules and assumptions.
II) Economic theories use value judgments to determine which people ought to pay more taxes.
A) Both I and II are true.
B) I is true, and II is false.
C) I is false, and II is true.
D) Both I and II are false.
Economic Theories
A collection of principles and models that explain how economies function, how economic agents interact, and how economic variables are determined.
Deduce
To derive as a logical conclusion from something known or assumed.
Observed Phenomena
Events or occurrences that have been noticed and recorded, often forming the basis for scientific study or theory development.
- Comprehend the development and purpose of economic theories.
Verified Answer
BT
Learning Objectives
- Comprehend the development and purpose of economic theories.