It Is Better to Have Data That Is Too Fine

question 35

Multiple Choice

It is better to have data that is too fine than too coarse because fine data can be converted to coarse data by

• A) separating the data into its constituent parts.
• B) using regression analysis.
• C) placing the data into a data mart.
• D) summing and combining the data.
• E) placing the data into a data warehouse.

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Definitions:

Reserve Ratio

The fraction of deposits that banks hold as reserves.

Debit Card

A payment card that deducts money directly from a consumer’s checking account to pay for a purchase, unlike credit cards that borrow funds that need to be repaid.

Credit Card

A payment card issued to users as a method of payment allowing the cardholder to pay for goods and services based on the holder's promise to pay for them later.

Monetary Policy

The process by which a central bank or monetary authority manages the money supply and interest rates to influence economic activity.