PWHerman Wants to Know Whether Consumption of Alcoholic Beverages Affects

question 76

Multiple Choice

P.W.Herman wants to know whether consumption of alcoholic beverages affects peoples' bicycling abilities.He suggeststhat the alcohol itself doesn't have any negative effects,but that people who drink alcohol expect to have their riding abilities impaired so they "act drunk." To control for the participants' expectations,P.W.gives half of his sample vodka and the other half of his sample vodka-flavored water.P.W.is using a(n) ____research method,and the vodka-flavored water is a ____.

• A) naturalistic observation; confounding variable
• B) survey; confounding variable
• C) experimental; placebo
• D) experimental; treatment variable

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Definitions:

Subsidy

Financial aid supplied by the government to an industry or business, with the aim of keeping prices low for consumers or aiding the business to be competitive.

Efficiency Loss

Economic costs that arise when market equilibrium is not achieved, or when resources are not allocated optimally, leading to waste or suboptimal outcomes.

Deadweight Loss

The loss of economic efficiency that occurs when the equilibrium for a good or service is not achieved or is not achievable.

Marginal Cost

The extra expense associated with manufacturing an additional unit of a product or service.