Suppose the variable x2 has been omitted from the following regression equation,
is the estimator obtained when
is omitted from the equation. The bias in
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A. >0 and
and
are positively correlated
B. <0 and
and
are positively correlated
C. >0 and
and
are negatively correlated
D. = 0 and
and
are negatively correlated
Answer: A
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Referring to Figure 19.2, the effect of a decrease in U.S. prices is represented by a movement from point
A) a to d. B) d to a. C) b to c. D) a to b.
How do constant returns to scale affect the shape of the long-run average cost curve?
What will be an ideal response?
Which one of the following is a cash-assistance program used to fight poverty in the United States?
a. Medicaid b. food stamps c. home energy assistance d. Head Start e. Temporary Assistance to Needy Families
Which of the following is used to determine the terms of trade?
A. Absolute costs. B. Opportunity costs. C. Export ratio. D. Per capita GDP.