What Type of Public Policy Could a Government Set in Response

question 120

Multiple Choice

What type of public policy could a government set in response to rising prices of a basic necessity?

• A) Make it illegal to charge higher prices for the good
• B) Hire more producers of the good
• C) Subsidize the price of the good
• D) All of these are ways a government can try to address rising prices of a basic necessity.

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Definitions:

Test Statistic

A value calculated from sample data used to make a decision on whether to reject the null hypothesis.

Null Hypothesis

A default hypothesis that there is no significant effect or difference, usually tested against an alternative hypothesis in statistical analysis.

Indicator Variable

A variable used in statistical modeling and analysis that assigns a value of 0 or 1 to note the absence or presence of a particular condition or attribute.

Logistic Regression

A statistical analysis method used for prediction of a binary outcome, based on one or more predictor variables.