Which of the Following Statements Concerning the Sample Standard Deviation

question 27

Multiple Choice

Which of the following statements concerning the sample standard deviation is FALSE?

• A) Sample standard deviation is a measure of the variation in responses.
• B) Analysts reporting descriptive statistics for continuous measures should always report standard deviations along with mean values.
• C) Standard deviation is meaningful and appropriate only for interval- and nominal-level measures.
• D) An analyst must be aware of the concerns of spurious precision when reporting standard deviations.
• E) Outliers can have a marked effect the calculation of a standard deviation.

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Definitions:

Industry Supply

The total output of goods or services that firms in a specific industry are willing and able to sell at various prices, over a certain period of time.

Purely Competitive Industry

A market structure where many firms offer products or services that are similar, allowing for free entry and exit, and ensuring no single firm can influence market prices.

Long-Run Adjustments

Changes in the scale of production or in the input mix used by firms in response to economic conditions over a period where all inputs can be varied.

Market Supply

The total amount of a product or service that is available for purchase at various price points in a market at a given time.