1.1.1 - Economics As A Social Science Flashcards
1
Q
What Type Of Science Is Economics?
A
A social science.
2
Q
What Does Economics Study?
A
Societies and the human interactions within those society’s.
3
Q
Why Do Economists Build Models?
A
To better understand certain interactions, due to complexities within society.
4
Q
Why Are Assumptions Made?
A
Because there are too many variables which can change within an economic model.
5
Q
What Is Ceteris Paribus?
A
All other things remaining equal.
6
Q
What Does Ceteris Paribus Allow Economists To Do?
A
Simplify and explain causes and effects.
7
Q
How Do Economists From Theories?
(4 Points)
A
~ Observe consumer behaviour.
~ Form hypothesis of how consumers spend.
~ Make predictions from hypothesis.
~ Use evidence to test predictions.
