If There Is a

question 82

Multiple Choice

If there is a .75 correlation between the hours that students devote to studying and their grades,

• A) a third variable, such as motivation and interest may account for the relationship.
• B) we can conclusively say that this strong correlation indicates a causal relationship.
• C) there is a weak, almost non-existent relationship.
• D) there is a strong negative correlation.

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Definitions:

Price Elastic

Describing a situation where the demand for a product is sensitive to price changes, meaning a relatively small change in price leads to a large change in the quantity demanded.

Supply Curve

A graph that details the interaction between the price level of a commodity and the quantity of it provided.

Per-unit Tax

A tax imposed on each unit of a good or service sold, affecting the supply curve by increasing production costs.

Tax Burden

The total amount of tax levied on an individual, corporation, or other entity, often expressed as a proportion of income or economic output.