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A restrictive monetary policy reduces investment spending and shifts the economy's aggregate demand curve to the right.
Scatter Plot
A graphical representation of the relationship between two variables using dots to represent the value of each.
Correlation Coefficient
A mathematical metric that evaluates the intensity of the correlation between the movements of two related variables.
Line of Best Fit
A straight line drawn through the center of a group of data points on a scatter plot, showing the direction of a relationship.
Excess Return
The return on an investment over the risk-free rate, indicating the extra amount earned for taking on risk.
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