Map of Legaspi Apt, Luzon on D. PURDUE UNIVERSITY econometrics ECONOMETRICS IS THE STATISTICAL method used to measure the effect one variable, and a group of variables have on one another. It is the main tool used in economics, finance, and business to untangle real-world empirical data. In the pure sciences, a controlled experiment can be set up to test the effect of one variable on the outcome. This controlled experiment keeps everything constant, except for one variable, so that any change in the outcome can be attributed to that variable. In business and capitalism, however, the laboratory is the economy, and the researcher cannot change variables in the economy independently just to see what happens. Instead, econometrics must separate out effects of a number of variables all moving at the same time. Map of Legaspi Apt, Luzon 2016.
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