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Use the Table Below to Answer the Following Question

question 78

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Use the table below to answer the following question.
Table 26.3.2
Use the table below to answer the following question. Table 26.3.2    -Refer to Table 26.3.2. The International Monetary Fund's World Economic Outlook database provides the data given in the table for India in 2004, 2005 and 2006. The numbers in the table are consistent with A) increases in long-run and short-run aggregate supply and even greater increases in aggregate demand. B) increases in short-run aggregate supply and increases in aggregate demand, but the increases in aggregate demand are smaller than the increases in short-run aggregate supply. C) increases in long-run and short-run aggregate supply and even larger decreases in aggregate demand. D) decreases in long-run and short-run aggregate supply and even greater decreases in aggregate demand. E) increases in short-run aggregate supply and no change in aggregate demand.
-Refer to Table 26.3.2. The International Monetary Fund's World Economic Outlook database provides the data given in the table for India in 2004, 2005 and 2006. The numbers in the table are consistent with

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Definitions:

Normality

The condition of conforming to a normal distribution, characterized by data that plots as a bell-shaped curve.

Durbin-Watson Statistic

A measure used in statistics to detect the presence of autocorrelation at lag 1 in the residuals from a regression analysis.

Residual

The difference between an observed value and the estimated value in a regression analysis.

Multicollinearity

A situation in regression analysis in which predictor variables are highly correlated, making it difficult to isolate the individual effects of the predictors.

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