Assumptions
Finally, as H. Craig Davis points out, there are a number of assumptions on which economic base analysis is conducted. These include: (1) that exports are the sole source of economic growth (investment, government spending, and household consumption are ignored); (2) that the export industry is homogeneous (that an increase of decrease of one export does not affect another); (3) the constancy of the export / service ratio; (4) that there is no inter-regional feedback; and (5) that there is a pool of underutilized resources.
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Famous quotes containing the word assumptions:
“What a man believes may be ascertained, not from his creed, but from the assumptions on which he habitually acts.”
—George Bernard Shaw (1856–1950)
“Unlike Boswell, whose Journals record a long and unrewarded search for a self, Johnson possessed a formidable one. His life in London—he arrived twenty-five years earlier than Boswell—turned out to be a long defense of the values of Augustan humanism against the pressures of other possibilities. In contrast to Boswell, Johnson possesses an identity not because he has gone in search of one, but because of his allegiance to a set of assumptions that he regards as objectively true.”
—Jeffrey Hart (b. 1930)
“Why did he think adding meant increase?
To me it was dilution. Where do these
Innate assumptions come from?”
—Philip Larkin (1922–1986)