3 years ago

A simplification of economic reality that is used to make predictions about the real world is known as a(n)_____.

1 answer:

3 0

Answer: Economic Theory

Explanation: Economic Theories are principles and ideas aimed at analyzing economic behavior and problems. Economic Theories are product of thorough theoretical research which identifies economic problems, reasons for those problems and ultimately proffers the best possible solution to arrest those problems. Hence economic Theories models economic realities and make real world predictions using this models.

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