In an empirical economic analysis, how does the econometric model relate to the economic model? Check all that apply. The economic model imposes a functional form on the more generally specified econometric model. The economic model attempts to account for the variables in the econometric model that cannot be reasonably observed. The economic theory is used to choose the variables in the economic model but not the variables in the econometric model. The econometric model imposes a functional form on the more generally specified economic model.

In an empirical economic analysis, how does the econometric model relate to the economic model? Check all that apply. The economic model imposes a functional form on the more generally specified econometric model. The economic model attempts to account for the variables in the econometric model that cannot be reasonably observed. The economic theory is used to choose the variables in the economic model but not the variables in the econometric model. The econometric model imposes a functional form on the more generally specified economic 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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Question

In an empirical economic analysis, how does the econometric model relate to the economic model? Check all that apply.
The economic model imposes a functional form on the more generally specified econometric model.
The economic model attempts to account for the variables in the econometric model that cannot be reasonably observed.
The economic theory is used to choose the variables in the economic model but not the variables in the econometric model.
The econometric model imposes a functional form on the more generally specified economic model.

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