A Study Found Higher Rates of Crime in Cities with an International

question 10

Multiple Choice

A study found higher rates of crime in cities with an international airport, compared to cities without an international airport .But the study failed to take account of the size of the city (population) , and bigger cities tend both to have more crime and to have international airports .The findings of this study suffer from

• A)Measurement bias
• B)Omitted variable bias
• C)Sample selection bias
• D)All of the above

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Definitions:

Profits Equal Zero

A situation in which a firm's total revenue is exactly equal to its total costs, resulting in no net profit.

Economies of Scale

Cost efficiencies achieved by organizations through their operational scale, with per unit cost diminishing as the scale of production grows.

Monopolistically Competitive

Describes a market structure where many companies sell products that are similar but not identical, allowing for some degree of market power.

Product Differentiation

A strategy used by companies to distinguish their products from those of competitors based on features, quality, or design.