If there is a causal relationship between two variables X and Y
A) both should be used as explanatory variables.
B) then the causal variable should be used as the explanatory variable.
C) then they must be positively correlated.
D) one of them can be omitted from the analysis.
B
You might also like to view...
In which of the following ways can national savings be calculated?
A) By deducting net exports and government expenditure from total output B) By deducting consumption and investment from total output. C) By deducting consumption and government expenditure from total output D) By deducting investment and government expenditure from total output
The aggregate demand curve shows:
a. how the equilibrium level of aggregate expenditure changes in response to changes in production. b. the amount people spend at different real GDP levels. c. the positive relationship between the price level and real GDP. d. the negative relationship between aggregate expenditure and real GDP. e. how the equilibrium level of aggregate expenditure changes as the price level changes.
According to Heckscher and Ohlin, each country has certain ______, such as land, labor, and capital.
Fill in the blank(s) with the appropriate word(s).
If Y = A × N × (75 + K/N), where K = 1000, N = 20, and A = 10, what happens if K doubles and N doubles?
A. Y quadruples. B. Y doubles. C. Y is unchanged. D. Y increases by 50%.