Positive Values of Covariance Indicate

question 35

Multiple Choice

Positive values of covariance indicate

• A) a positive variance of the x values.
• B) a positive variance of the y values.
• C) the standard deviation is positive.
• D) positive relation between the independent and the dependent variables.

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Definitions:

Bank Loan

A sum of money borrowed from a bank that must be repaid with interest over a set period.

Diminishing Marginal Product

The principle that as the quantity of a factor of production increases, holding all other inputs constant, the additional output generated by one more unit of that factor will eventually decrease.

Total Cost Function

A mathematical relationship expressing the total cost of production as a function of the quantity of output.

Explicit Costs

Direct, out-of-pocket payments for wages, rent, materials, and other inputs required for the production of goods or services.