Suppose that a study is released stating that the more time a person spends fishing, the smaller the chance that the person is a vegetarian. This is best described as an example of
A. positive correlation.
B. negative correlation.
C. positive causation.
D. negative causation.
Answer: B
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Annual expenditures by the federal government exhibited an upward trend, rising from $3 billion in 1930 to more than $1 trillion in 2010
a. True b. False Indicate whether the statement is true or false
If a firm has short-run losses, will it stay open? Under what conditions will a firm close in the short run? Explain
Most of the public debt is owed to citizens and domestic institutions. This is one reason that the public debt:
A. has a procyclical economic effect on the economy. B. can result in the bankruptcy of the federal government. C. crowds out private investment. D. does not impose a burden on future generations.
If two countries each are currently producing two goods, and each begins to specialize in the good in which it has a comparative advantage, what will happen to total (world) output?
A. It will increase. B. It will decrease. C. It will be unchanged in both countries. D. It will rise in one country and fall in the other, but the total is unchanged. E. Uncertain; economic theory has no answer to this question.