In Multiple Regression, the Constant

question 80

Multiple Choice

In multiple regression, the constant :

• A) is the expected value of the dependent variable Y when all of the independent variables have the value zero
• B) is necessary to fit the multiple regression line to set of points
• C) must be adjusted for the number of independent variables
• D) are all of these options

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Definitions:

Demand for Dollars

Refers to the global desire or need for U.S. currency, driven by its use in international trade, investment, and as a reserve currency.

Balance of Payments Surplus

A situation where the total of the payments received from abroad exceeds the total of the payments made to abroad.

FX Reserves

Short for foreign exchange reserves; assets held on reserve by a central bank in foreign currencies, used to back liabilities on their own issued currency as well as to influence monetary policy.