Using the Regression Formula with a Slope = 1,000 and an Intercept

question 40

Multiple Choice

Using the regression formula with a slope = 1,000 and an intercept = 25,000,what would the predicted income be for someone who has 20 years of education?

• A)$40,000
• B)$42,000
• C)$45,000
• D)$47,000

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Definitions:

Sherman Act

A foundational U.S. antitrust law aimed at maintaining competition by prohibiting monopolies, cartels, and other forms of restrictive trade practices.

Monopoly Power

The ability of a single firm to control the market price and output of a good or service due to lack of competition.

Alcoa Case

A landmark antitrust case in which the Aluminum Company of America (Alcoa) was found to have monopolized the production and sale of aluminum, violating the Sherman Act.

Federal Trade Commission

A federal agency established to prevent fraudulent, deceptive, and unfair business practices in the marketplace.