It May Be Appropriate to Model Data Using Linear Regression

question 3

True/False

It may be appropriate to model data using linear regression if the data points nearly fall on a straight line.

---

Definitions:

Income Effect

The change in consumption resulting from a change in real income, which can itself result from changes in wages or prices.

Money Income

The total amount of monetary earnings or receipts a person or household receives from various sources including wages, dividends, and benefits.

Product Increases

Situations in which the output or availability of goods and services in the market expands.

Demand Curve

A graphical representation showing the relationship between the price of a good and the quantity demanded by consumers at various prices.