Archive for February, 2012
Tags: delhi, observations, scribble
Tags: academic musings, ceteris paribus, isolation, observations
One of the most often used terms in economics is Ceteris Paribus (everything else remaining the same/holding everything else constant/ everything else remaining equal). I have a fascination for this concept. Just imagine how things would be if everything else could be kept constant and we could deal with each of our problems in isolation. It is definitely difficult to experience ceteris paribus . Nonetheless, it helps us understand certain things. The notion however is best limited to the short phase when we are taking baby steps in understanding theories. It has no place outside of it.