How Is an Observational Study Different from an Experiment

question 14

Multiple Choice

How is an observational study different from an experiment?

• A)An observational study is always done in a lab, whereas an experiment is always done outside of a laboratory.
• B)An experiment is always done in a lab, whereas an observational study is always done outside of a laboratory.
• C)It isn't.They are two names for the same thing.
• D)In an observational study, variables are not controlled but rather observed as they naturally occur.
• E)In an experiment, variables are not controlled but rather observed as they naturally occur.

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Definitions:

Long-Run Average Unemployment Rate

The unemployment rate that is expected to prevail in the long-term, factoring in the natural movement of the workforce in and out of jobs.

Market Power of Unions

The capacity of labor unions to influence wages, working conditions, and employment levels through collective bargaining.

Minimum Wage

The lowest legal salary that employers can pay workers, set by government laws to ensure a minimum standard of living for employees.

Money Supply Growth Rate

The rate at which the amount of money available in an economy is growing, influencing inflation and economic stability.