Economic laws are defined as what?

Economic laws are often understood as statements that describe general tendencies or relationships in economic behavior. These laws do not claim to apply universally in every situation but instead highlight patterns that tend to occur under certain conditions or assumptions. For example, the law of demand states that as the price of a good falls, the quantity demanded typically increases, although there may be exceptions based on specific circumstances.

This understanding aligns with the idea that economic laws are characterized by their ability to provide insight into typical behaviors in markets, without asserting that they will always hold true in every scenario. This is important for economists as they analyze trends and make predictions while also accounting for variables that can lead to deviations from these general truths.