In Order to Determine a Causation Between a Change in the Price

question 7

Multiple Choice

In order to determine a causation between a change in the price of iPads and the amount of iPads purchased by customers,an economist must show that

• A)there is no correlation between the price of iPads and the quantity of iPads purchased.
• B)the change in the quantity of iPads purchased occurs after the change in the price of iPads.
• C)the change in the price of iPads occurs along with the change in the quantity of iPads purchased.
• D)the changes in the price and quantity of iPads purchased always move in the same direction.
• E)the change in the price of iPads brings about the change in the quantity of iPads purchased.

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Definitions:

Grapevine Communication

Informal information exchange among people in an organization, often involving rumors or unsubstantiated facts.

Downward Communication

Information flow from higher levels of an organization's hierarchy to the lower levels, often involving directives, updates, or feedback.

Interpersonal Level

Pertaining to or involving relationships between individuals.

Grapevine Communication

Informal channels of information exchange within an organization or group, not sanctioned by official communication policies, which can spread rumors and unofficial news.