If the Coefficient of Correlation Is

question 78

Multiple Choice

If the coefficient of correlation is .7, the percentage of variation in the dependent variable explained by the variation in the independent variable is

• A) 70%.
• B) 49%.
• C) 30%.
• D) -51%.

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Definitions:

Price-Taker Market

A market situation in which individual buyers or sellers have no influence on the price of a product, often due to the product being completely standardized and numerous participants.

Tea Industry

The sector of the economy devoted to the production, processing, and marketing of tea.

Output Expansion

Output expansion is the increase in the quantity of goods or services produced by an economy or a firm, often as a result of increased demand or improved production efficiency.

Unchanged Resource Prices

A situation where the prices of inputs required for production remain constant over a certain period.