Tools Used by Economists

What is one of the tools that economists use to examine economic events and figure out how a given economic decision can affect the world?

What is the first step in the scientific method?

What is one of the most effective tools that economists use according to the passage?

Which tool involves posing a question, researching, developing a hypothesis, conducting studies, analyzing information, and evaluating the hypothesis?

What do economists need to examine economic events, simplify them, and figure out how a given economic decision can affect the world?

What gives vital insights into the physical world and its processes, similar to what economists do with economic events?

Why do economists use graphs?

What is a variable, as mentioned in the text?

What is an economic model?

What is the rational-behavior model also known as?

What do economists analyze when people interact with different speed limits?

Why do economists use natural experiments?

According to the rational-behavior model, how do humans make decisions?

What is the significance of the 'invisible hand' in Adam Smith's description of the free market?

What does the term 'ceteris paribus' mean in the context of economic modeling?

What is the primary purpose of economic models according to the text?

According to the text, why do economists use the rational-behavior model?

What is the rational-behavior model primarily focused on?

In economic modeling, what does 'ceteris paribus' allow economists to do?

'Other things being equal' or 'other relevant factors remaining unchanged' refers to which concept in economic modeling?