A Statement Is Made About Correlation

question 166

Multiple Choice

A statement is made about correlation. State whether the correlation is positive or negative and whether the correlation ismost likely due to coincidence, a common underlying cause, or a direct cause.
-People who eat a lot of junk food are heavier, on the whole, than those who do not.

• A)Positive correlation; direct cause
• B)Positive correlation; coincidence
• C)Negative correlation; direct cause
• D)Positive correlation; common underlying cause

---

Definitions:

Marginal Cost

The additional expense incurred for producing one more unit of a product or service.

Inverse Demand Curve

Describes the relationship between price and quantity demanded, showing price as a function of quantity.

Total Revenue

The total amount of money received by a company for goods sold or services provided during a certain time period.

Marginal Revenue

The additional revenue that a company receives from selling one more unit of a good or service.