The History Effect Occurs When Events External to an Experiment

question 61

True/False

The history effect occurs when events external to an experiment affect the responses of the subjects.

---

Definitions:

Interest Rate

The cost of borrowing money, typically expressed as a percentage of the principal, charged by lenders to borrowers for the use of assets.

Supply of Money

The overall pool of monetary resources in an economy at a given period.

Interest Rate

The cost of borrowing money or the return on savings, often expressed as a percentage of the principal.

Spending Multiplier

An economic concept indicating the ratio of change in aggregate income to an initial change in spending, illustrating how initial spending leads to increased total spending.