A Statistical Technique That Identifies the Line of Best Fit

question 164

Multiple Choice

A statistical technique that identifies the line of best fit for the points plotted in a scattergraph is called

• A)regression analysis.
• B)break-even analysis.
• C)high-low method.
• D)ERP.

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Definitions:

Demand Curve

A graph showing the relationship between the price of a good and the quantity of that good which consumers are willing to purchase at different prices.

Deadweight Loss

A loss of economic efficiency that occurs when equilibrium for a good or service is not achieved or is not achievable.

Per-Unit Tax

A tax that is levied on a product based on a fixed amount per unit sold, not based on the value of the product.

Quantity Tax

A tax that is levied on a specific amount or quantity of a good or service, rather than on its value.