An Economist Is Interested to See How Consumption for an Economy

question 44

Multiple Choice

An economist is interested to see how consumption for an economy (in $ billions) is influenced by gross domestic product ($ billions) and aggregate price (consumer price index) . Annual data from 30 years were collected. Which of the following would be the most appropriate analysis to perform?

• A) autoregressive modeling for trend fitting and forecasting
• B) simple linear regression
• C) multiple linear regression
• D) logistic regression

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Definitions:

Hiring

The process of reviewing applications, interviewing candidates, and selecting an individual for employment.

Personal Value Formation

The process through which individuals develop their own set of moral standards and priorities that guide their behavior and decision-making.

Family Influence

The impact that family members have on an individual's beliefs, behaviors, and life choices.

Deep Values

Core beliefs and ethical principles that deeply influence one's behavior, decisions, and perception of the world.