When Two Variables Are Related but One Does Not Cause

question 22

Multiple Choice

When two variables are related but one does not cause the other, researchers term the situation:

• A) a validity.
• B) an association.
• C) a bias.
• D) a reliability.
• E) an establishment.

---

Definitions:

Subsidies

Financial support provided by the government to businesses, individuals, or other governmental bodies, intended to encourage production, reduce prices, or support activities deemed beneficial.

Foreign Firms

Companies that operate in a country other than where their headquarters are located.

Import Tariff

A tax imposed by a government on goods and services imported from other countries, intended to protect domestic industries and adjust trade balances.

Import Quota

A limit imposed by a nation on the quantity (or total value) of a good that may be imported during some period of time.