TABLE 14-3 an Economist Is Interested to See How Consumption for an for an Economy

question 231

Multiple Choice

TABLE 14-3
An economist is interested to see how consumption for an economy (in $ billions) is influenced by gross domestic product ($ billions) and aggregate price (consumer price index) . The Microsoft Excel output of this regression is partially reproduced below.
-Referring to Table 14-3, to test for the significance of the coefficient on aggregate price index, the p-value is

• A) 0.0001.
• B) 0.8330.
• C) 0.8837.
• D) 0.9999.

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Definitions:

Consumer Goods

Goods produced for present consumption.

Capital Goods

Long-lasting tangible items that businesses use to produce goods or services, such as machinery, buildings, and equipment.

Technological Improvements

Enhancements or advancements in technology that increase productivity or efficiency in processes, products, or services.

Production Inefficiencies

Situations where resources are not used in the most productive way, leading to wastage and a lower output than potentially achievable.