Which Measure Indicates How Strongly a Measured Variable Is Correlated

question 6

Multiple Choice

Which measure indicates how strongly a measured variable is correlated with a factor?

• A)factor β
• B)discriminator
• C)factor link
• D)factor loading

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Definitions:

Stock Market Crash

A sudden and significant decline in the stock market prices, leading to a loss of paper wealth and often preceding economic downturns.

Consumption Expenditures

The total amount spent by consumers on goods and services for personal use.

Capital Gains Tax

A tax on the profit made from selling an asset for more than its purchase price, applicable to investments like stocks and real estate.

Fiscal Policy

The use of government spending and taxation to influence the economy.