The Power of an Experiment Was

question 28

Multiple Choice

The power of an experiment was .87. This indicates that

• A)there is an 87% chance of making a Type I error.
• B)87% of the participants in one condition will score higher than the average participant in the other condition.
• C)beta is .87.
• D)the experiment has an 87% chance of detecting any effect of the independent variable that might occur.

---

Definitions:

Fiscal Policy

A government's strategy for managing its budget, including taxation and spending decisions, to influence the economy.

Desired Money Holdings

This is the quantity of money individuals prefer to keep available for immediate transactions or precautionary purposes.

Initial Equilibrium

The starting point at which supply and demand are in balance before any external changes affect the market.

Interest Rate

The fee, shown as a percent of the principal, that a lender imposes on a borrower for the utilization of assets.