Using the Directed Acyclic Graph Below to Identify Which of the Following

question 3

Multiple Choice

Using the directed acyclic graph below to identify which of the following statements are true? (Select all that apply)

• A)C is a potential confounder of the relationship between B and D
• B)B is a potential confounder of the relationship between C and D
• C)C is a potential confounder of the relationship between A and D
• D)C is an intermediary between A and D
• E)Even if C was not a cause of B, it could still confound the relationship between B and D

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Definitions:

Nominal Wage

Refers to the wage paid to labor in current dollars, without adjustment for inflation, representing the face value of payments received.

Price Level

The mean price level of all goods and services currently being produced in the economy.

Real Wage

The purchasing power of an individual's or group's wages, often considered in terms of the amount of goods and services that can be bought.

Efficiency Wages

A theory suggesting employers may pay wages higher than the market equilibrium to increase productivity, reduce turnover, and motivate employees.