Economic theory has suffered in the past from a failure to state clearly its assumption
economics
Description
Economic theory has suffered in the past from a failure to state clearly its assumption. Economists in building up a theory have often omitted to examine the foundations on which it was erected. This examination is, however, essential not only to prevent the misunderstanding and needles controversy which arise from a lack of knowledge of the assumptions on which a theory is based but also because of the extreme importance for the economics of good judgment in choosing between rival sets of assumptions.
