The Net Export Function Illustrates That

question 111

Multiple Choice

The net export function illustrates that:

• A)net exports are a positive function of domestic income.
• B)net exports are independent of domestic income.
• C)net exports are a negative function of domestic income.
• D)imports are independent of domestic income.
• E)exports are independent of foreign income.

---

Definitions:

Indicator Variables

Dummy variables used in regression models to encode categorical data into numbers, typically 0 or 1, to include them in statistical analysis.

Number of Hours

The total count of hours measured in a given context, often referring to the duration of events or the amount of time spent on activities.

Nominal Variable

A type of variable that represents categories with no intrinsic ordering or rank among them.

Indicator Variables

Binary variables used in regression analysis, taking the value of either 0 or 1 to denote the absence or presence of a categorical effect.