Two Variables, X and Y, Have a Strong Linear Correlation

question 77

Multiple Choice

Two variables, X and Y, have a strong linear correlation. Under what conditions can you determine the direction of causality just from knowing the correlation coefficient?

• A)When the correlation is negative
• B)When the correlation is positive
• C)When there is high power
• D)None of the above

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Definitions:

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A hypothetical or specific form of taxation where a tax is levied on each unit of apple sold or consumed.

Imported Apples

Apples that are brought into a country from another country for sale, which can affect the local market in terms of prices, supply, and demand.

United States

A country located in North America, known for its significant economic, cultural, and political influence globally.

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A price ceiling set by authority to limit how high a price can be charged for a product or service.