A Regression Specification Must Include

question 24

Multiple Choice

A regression specification must include

• A)the choice of the dependent variable.
• B)the explanatory variable(s).
• C)the functional relationship.
• D)All of the above.

---

Definitions:

Disinflation

A decrease in the rate of inflation, indicating a slowdown in the rate at which prices for goods and services increase.

Rate of Inflation

The rise in the average cost of goods and services across an economy over a specific period.

Recessions

Periods of economic downturn when output and employment are falling, typically defined as two consecutive quarters of declining gross domestic product.

Consumer Price Index

An index that calculates the overall average price of a range of consumer goods and services, which includes transportation, food, and healthcare provisions.