Question:

Microeconomics help 2 questions please help?

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am having a hard time with my economics class.

1)Evaluate the following statement: "It is easier to build an economic model that accurately reflects events that have already occured then to build an economic model to forecast future events." Do you think that this is true or not? Why? What does this imply about the difficulties of building good economic models?

2) Economists who work for the government are often called on to make policy recommendations. Why do you think it is important for the public to be able to differentiate normative statements from positive statements in these recommendations?

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  1. 1. All models reflect more or less what is observed by the economists. Future events can only be derived from events happening now because present is an intersection between future and past, so far.

    2. Positive statements are based on scientific methods and they´ll work and solve problems if they cannot be scientifically  refuted. Normative recommendations are based on simple opinions that look serious and respectful.

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