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Use the figure below to answer the following question(s) .
Figure 9-2
-When an economy is experiencing the aggregate demand and supply conditions depicted in Figure 9-2,
Standard Error
The standard deviation of a point estimator.
Ith Residual
The difference between the observed value of the dependent variable and the value predicted using the estimated regression equation; for the ith observation the ith residual is yi − yˆi.
Coefficient Of Correlation
A statistical measure that calculates the strength of the relationship between the relative movements of two variables.
R-Square
A statistical measure that represents the proportion of the variance for a dependent variable that's explained by an independent variable or variables in a regression model.
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