Despite Many Differences, the Market and Public Sectors Are Similar

question 168

Multiple Choice

Despite many differences, the market and public sectors are similar in which one of the following respects?

• A) In both sectors, income (or power) is distributed on the basis of the same criterion.
• B) Consumers in the market sector and voters in the public sector are equally well informed.
• C) Voluntary exchange, rather than compulsion, is characteristic of both sectors.
• D) It will be costly to use scarce goods, whether through the private or the public sector.

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Definitions:

Stepwise Regression

A method of regression analysis in which the selection of predictive variables is carried out by an automatic procedure, adding or removing predictors based on specific criteria.

Independent Variables

Variables in an experiment that are manipulated or changed to observe their effect on dependent variables.

Regression Model

A mathematical model that estimates the relationship between a dependent variable and one or more independent variables.

Independent Variables

Elements in a research or modeling scenario that are deliberately modified to examine their influence on variables that are affected by them.