We Use the T Distribution to Make a Confidence Interval

question 23

Multiple Choice

We use the t distribution to make a confidence interval for the population mean if the population from which the sample is drawn is (approximately) normally distributed,the population standard deviation is unknown,and the sample size is at least:

• A)30
• B)100
• C)50
• D)2

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Definitions:

Multiplier

The ratio of the change in an endogenous variable to the change in an exogenous variable it is dependent on, often used in the context of fiscal policy’s effect on the economy.

MPC

Stands for Marginal Propensity to Consume, indicating the proportion of additional income that is spent on consumption.

Tax Cut

A reduction in the amount of taxes that individuals or companies are required to pay to the government.

Taxes

Required financial obligations or other sorts of charges enforced on a taxpayer by a government agency for the purpose of funding governmental activities and several public spending.