In Simple Linear Regression,the Coefficient of Correlation R and the Least

question 149

Multiple Choice

In simple linear regression,the coefficient of correlation r and the least squares estimate b₁ of the population slope $\beta$ ₁:

• A) must be equal.
• B) must have the same sign.
• C) are not related.
• D) None of these choices.

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Definitions:

Penetration Pricing

A pricing strategy where the price of a new product is set lower than competitors to quickly gain market share.

Skimming Strategy

A pricing tactic that involves setting a high price for a new product to maximize profits from segments willing to pay more, before lowering the price over time.

Price Insensitivity

A condition where the demand for a product is unresponsive or less sensitive to changes in its price.

Product Sampling

A promotional tactic where customers are given a sample of a product for free with the goal of increasing awareness or boosting sales.