In the multiple regression model, the t-statistic for testing that the slope is significantly different from zero is calculated
A) by dividing the estimate by its standard error.
B) from the square root of the F-statistic.
C) by multiplying the p-value by 1.96.
D) using the adjusted R2 and the confidence interval.
Answer: A
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If the marginal utility Ida Mae receives from eating chicken wings is negative then
A) her total utility from eating chicken wings has fallen. B) Ida Mae definitely does not like chicken wings. C) her total utility has risen, but by less from the last chicken wing than from the next to last chicken wing. D) her total utility from eating chicken wings is negative as well.
Active changes in tax and spending by government intended to smooth out the business cycle are called ________, and changes in taxes and spending that occur passively over the business cycle are called ________
A) discretionary fiscal policy; automatic stabilizers B) automatic stabilizers; monetary policy C) discretionary fiscal policy; conscious fiscal policy D) automatic stabilizers; discretionary fiscal policy
Other things equal, investment spending will increase when:
a. interest rates are lowered. b. firms operate under full capacity. c. corporate taxes are increased. d. capacity utilization is low. e. the cost of capital rises.
Refer to the accompanying figure. The equilibrium price in this market is ________ and the equilibrium quantity is ________.
A. $25; 25 B. $30; 25 C. $25; 30 D. $30; 30