TABLE 14-3 an Economist Is Interested to See How Consumption for an for an Economy

question 129

Multiple Choice

TABLE 14-3
An economist is interested to see how consumption for an economy (in $ billions) is influenced by gross domestic product ($ billions) and aggregate price (consumer price index) . The Microsoft Excel output of this regression is partially reproduced below.
-Referring to Table 14-3, one economy in the sample had an aggregate consumption level of $4 billion, a GDP of $6 billion, and an aggregate price level of 200. What is the residual for this data point?

• A) $4.39 billion
• B) $0.39 billion
• C) -$0.39 billion
• D) -$1.33 billion

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Definitions:

Consciousness

The quality or state of being aware of an external object or something within oneself.

Cocktail-Party Effect

The ability of individuals to focus their attention on a single speaker among a noise of conversations and background sounds.

Perceptual Attention

The cognitive process that allows an individual to concentrate on important sensory information while ignoring other irrelevant data.

Selectivity

The process or action of specifically choosing or preferring one option over others, often based on distinct criteria or preferences.