In order to test a theory, one must... a. Use assumptions that most closely reflect reality. b. Confront the predictions of the theory with evidence. c. Develop a better explanation than the one presented. d. Present a series of normative statements and positive statements. e. Develop normative statements from the law of large numbers.

In order to test a theory, one must... a. Use assumptions that most closely reflect reality. b. Confront the predictions of the theory with evidence. c. Develop a better explanation than the one presented. d. Present a series of normative statements and positive statements. e. Develop normative statements from the law of large numbers.

Brief Principles of Macroeconomics (MindTap Course List)

8th Edition

ISBN:9781337091985

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter2: Thinking Like An Economist

Section2.2: The Economist As Policy Adviser

Problem 2QQ

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