Asked by carolette mckenzie on Jun 13, 2024
Verified
Instead of conducting laboratory experiments to generate data to test their theories, economists often
A) rely upon hypothetical data that were previously concocted by other economists.
B) argue that data is impossible to collect in economics.
C) rely on natural experiments offered by history.
D) assume that data would support their theories.
Natural Experiments
An empirical study in which the conditions of the study are determined by nature or by other factors outside the control of the investigators, but the process allows for the interpretation of causal relationships.
- Acquire knowledge of the methods underlying economic theories and recognize the restrictions of economic experiments.
Verified Answer
PK
Paige KitchensJun 14, 2024
Final Answer :
C
Explanation :
Economists often rely on natural experiments offered by history because controlled experiments are difficult to conduct in economics due to the complexity and scale of economic systems. Natural experiments, where external events or policy changes create conditions that closely resemble a controlled experiment, provide valuable real-world data for testing theories.
Learning Objectives
- Acquire knowledge of the methods underlying economic theories and recognize the restrictions of economic experiments.
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