Sentences with phrase «economic theory predicts»

As for supply, economic theory predicts, and experience confirms, that raising the price of a harmful activity is always more effective at reducing that activity than is lowering prices of the thousands of imaginable alternatives — as we documented in the comments we submitted in January 2014 to the Senate Finance Committee.

Economic theory predicts that it is owners who optimize the value of resources.

Standard economic theory predicts that firms will not invest in general training and will underinvest in specific training.

Last but by no means least, standard economic theory predicts that increased trade will grow the economy but hurt some specific social classes.

Not exact matches

By varying the monkeys» budgets and the amounts of food they would receive for a disk, the researchers found that the monkeys» behavior was within 1 % of what could be predicted from economic theory.

Economic pundits arguing that the Canadian dollar is overvalued often base their view on the theory of purchasing power parity (PPP), which predicts that international trade eventually leads exchange rates to adjust until a typical basket of consumer goods and services in Canada costs the same as in other countries.

Economic theory that predicts harmful market failures due to the information asymmetries that are present when ordinary investors rely on advisers who are far more expert than them, but highly conflicted

However, the theory of reflexivity would predict that this strength in stock prices would subsequently strengthen the economic fundamentals.

And economists seem convinced that they are engaged in a science, even though their basic postulates are undemonstrable and irrational, and there has never been an economic theory that, once applied in the real world, has had the predicted results.

Keywords: Risk management, measuring uncertainty, failure of models that predict failure, complexity theory, standard out of equilibrium level, irrational expectations on economic rational actor model.

Category: English, North America, Transversal Studies, Your experiences, Your ideas · Tags: complexity theory, failure of models that predict failure, irrational expectations on economic rational actor model, measuring uncertainty, Risk management, standard out of equilibrium level

Both sides use economic theory to try and predict the various benefits, and frankly, I tend to look at all economic predictions with a very skeptical eye because it is almost always blinded by political or self interest, or tries to argue «pure» economics that looks real good on paper, but doesn't take into account that humans rarely act completely in their actual best interest since emotions, ignorance, etc all get in the way.

Counter to what some economic theory would predict, consumers apparently reacted when they got the money, not when the program was announced.

This cost reduction in the price of solar PV panels happens to be exactly what economic theory would predict.

But that is a very big gamble, not something we can confidently predict based on economic theory.

Students will explore sources of data and the use of decision theory, game theory, and economic analysis to evaluate claims, predict outcomes, and improve litigation strategies.

Economic theory indicates that initial expectations about the marriage and variance in expectations are both important in predicting relationship satisfaction and divorce.