The following simple model is used to determine the annual savings of an individual on the basis of his annual income and education.
Savings = ?0 + 0 Edu + ?1Inc + u
The variable ‘Edu' takes a value of 1 if the person is educated and the variable ‘Inc' measures the income of the individual.
?
Refer to the model above. The benchmark group in this model is _____.

A. the group of educated people
B. the group of uneducated people
C. the group of individuals with a high income
D. the group of individuals with a low income


Answer: B

Economics

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A. 100-percent-reserve B. barter C. fractional-reserve D. government-insured

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A) from point a to point e B) from point a to point b C) from point a to point c D) from point a to point d

Economics

Households' labor supply decisions are influenced by all of the following except _______

A. the opportunity cost of taking leisure and not working B. the after-tax wage rate C. unemployment benefits D. the number of full-time jobs available

Economics

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Economics