1.1.1 Nature Of Economics Flashcards
1
Q
Define Social Science
A
The study of societies and human behavior
2
Q
Natural vs Social Science
A
Natural
- study of natural works
- conduct laboratory experiments
Social
- study of societal dynamics
- conduct empirical research
Similarities
- both develop hypothesis and analyse data to report conclusions
3
Q
Define law
A
Theories that gain universal acceptance
4
Q
Define model
A
Simplified representation of reality used to provide insight into economic depictions and events
5
Q
Define Ceteris Paribus assumption
A
Holding all other variables constant while the effects of a change in one variable is being investigated
6
Q
Purpose of Ceteris Paribus
A
- isolates effect of specific variable
- simplifies problem
- able to analyze relation between factors
