When Studying the Effects of Public Policy Changes, What Do

question 79

Multiple Choice

When studying the effects of public policy changes, what do economists do?

• A) They often falsify results if the desired effect is not reached.
• B) They may make different assumptions for the long run and the short run.
• C) They attempt to consider only the direct effects and not the indirect effects.
• D) They can immediately change policies if they are ineffective.

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Definitions:

Standard Deviation

A measure of the amount of variation or dispersion in a set of values.

Confidence Interval

An estimated range of values which is likely to include an unknown population parameter, calculated from a given set of sample data.

Margin of Error

An expression of the amount of random sampling error in a survey's results, indicating a range within which the true value lies at a certain confidence level.

Probability

The extent to which an event is likely to occur, measured by the ratio of the favorable cases to the whole number of cases possible.