Macroeconomics
Macroeconomics
10th Edition
ISBN: 9780134896441
Author: ABEL, Andrew B., BERNANKE, Ben, CROUSHORE, Dean Darrell
Publisher: PEARSON
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Chapter 1, Problem 7RQ
To determine

The steps involved in the process of developing and testing economic theories or models and the benchmarks of a useful model or theory.

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What steps are involved in developing and testing an economic theory or model? What are the criteria for a useful theory or model?
What are the key ingredients of an economic model, and why are models useful?
In your own words, what does "economics" actually mean? What are some of the different schools of thought or ideas on what the term economics means? Why is it important to. understand these differences?
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