Abstract:

Economic theories are frequently tested empirically, largely through the use of econometrics using economic data [4].[The controlled experiments common to the physical sciences are difficult and uncommon in economics [5] and instead broad data is observationally studied; this type of testing is typically regarded as less rigorous than controlled experimentation, and the conclusions typically more tentative. As a consequence the number of laws discovered by the discipline of economics is relatively very low compared to the physical sciences.

Statistical methods and econometric models are common, but the use of these commonly accepted methods need not produce a final conclusion or even a consensus on a particular question. By such means, a hypothesis may gain acceptance, although in a probabilistic, rather than certain, sense. In this paper we will show a new methodology that could help researchers in Economy to discover the certain sense, the functional structure behind a set of data. We will limit the study to the case in which the set of data is a polynomial function.

Keywords:

Economics, research.