One Advantage of Knowing the Correlation Between Two Variables Is

question 36

Multiple Choice

One advantage of knowing the correlation between two variables is that ________.

• A)the size of the correlation helps determine whether the variables are important enough to devote further research to them
• B)one variable can then be used to predict another
• C)one variable can be eliminated from the theory
• D)this knowledge helps us understand the limitations of social research
• E)since correlation does not indicate causal relationships,there is no advantage

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Definitions:

Interest Rate

The amount charged by lenders to borrowers for the use of assets, expressed as a percentage of the principal, the rate can influence inflation and economic activity.

Investing

Channeling money or assets towards avenues with the expectation of profit or income generation.

Interest Rate

The rate, expressed as a share of the principal, that a lender charges a borrower for the borrowing of assets.

Investing

The act of allocating resources, typically money, with the expectation of generating an income or profit over time through various instruments like stocks, bonds, or real estate.