Occam's (or Ockham's) razor is a principle attributed to the 14th century logician and Franciscan friar; William of Occam. Ockham was the village in the English county of Surrey where he was born.
The principle states that "Entities should not be multiplied unnecessarily." Sometimes it is quoted in one of its original Latin forms to give it an air of authenticity.
"Pluralitas non est ponenda sine neccesitate"
"Frustra fit per plura quod potest fieri per pauciora"
"Entia non sunt multiplicanda praeter necessitatem"
In fact, only the first two of these forms appear in his surviving works and the third was written by a later scholar. William used the principle to justify many conclusions including the statement that "God's existence cannot be deduced by reason alone." That one didn't make him very popular with the Pope.
Many scientists have adopted or reinvented Occam's Razor as in Leibniz' "identity of observables" and Isaac Newton stated the rule: "We are to admit no more causes of natural things than such as are both true and sufficient to explain their appearances."
The most useful statement of the principle for scientists is,
"when you have two competing theories which make exactly the same predictions, the one that is simpler is the better."
In physics we use the razor to cut away metaphysical concepts. The canonical example is Einstein's theory of special relativity compared with Lorentz's theory that ruler's contract and clocks slow down when in motion through the Ether. Einstein's equations for transforming space-time are the same as Lorentz's equations for transforming rulers and clocks, but Einstein and Poincaré recognised that the Ether could not be detected according to the equations of Lorentz and Maxwell. By Occam's razor it had to be eliminated.
The principle has also been used to justify uncertainty in quantum mechanics. Heisenberg deduced his uncertainty principle from the quantum nature of light and the effect of measurement.
Stephen Hawking explains in A Brief History of Time:
"We could still imagine that there is a set of laws that determines events completely for some supernatural being, who could observe the present state of the universe without disturbing it. However, such models of the universe are not of much interest to us mortals. It seems better to employ the principle known as Occam's razor and cut out all the features of the theory that cannot be observed."
But uncertainty and the non-existence of the ether cannot be deduced from Occam's Razor alone. It can separate two theories that make the same predictions, but does not rule out other theories that might make a different prediction. Empirical evidence is also required and Occam himself argued for empiricism, not against it.