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Unformatted text preview: people could stop having unwanted children; and that stopped them from getting into gangs. Observation is a starting place to create a theory you can test. Theory: We have grade inflation and after testing we can do more observation. Rule Assumptions: Have to fit the circumstances. Models are always an abstraction from reality. Problems to make decisions and choose the relevant pieces of information. Lack of information, too much information. How well does it predict?Is how economists know of the model is right. With the fewest number of predictions. Sales Purchases Receipt Goods and Services Goods and Services Resources Payments...
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- Fall '11