Asked by Susana Contreras on Jun 09, 2024
Verified
If economic theories are solidly based on relevant facts,then appropriate economic policy becomes obvious and uncontroversial.
Economic Theories
Comprehensive frameworks or models used to explain and predict economic phenomena and guide the analysis of economic issues and policy.
Economic Policy
Strategies and decisions made by the government concerning the economy, including taxation, government spending, and interest rates.
- Comprehend the development and consequences of economic models along with the notion of economic policy.
Verified Answer
VM
Vinit MehtaJun 12, 2024
Final Answer :
False
Explanation :
While economic theories can provide useful insights and guidance, they are not always directly applicable to specific policy decisions. Economic policies often involve trade-offs between competing goals and values, and may require consideration of factors beyond pure economic theory or empirical evidence. As such, economic policy decisions can be complex and contentious, even when based on sound economic principles.
Learning Objectives
- Comprehend the development and consequences of economic models along with the notion of economic policy.