Planned Investment May Differ from Actual Investment Because Of

question 26

Multiple Choice

Planned investment may differ from actual investment because of:

• A)changes in government purchases and net exports.
• B)the marginal propensity to consume.
• C)unplanned changes in inventories.
• D)fluctuations in preset prices.

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Definitions:

Two-Tail Test

A statistical test where the critical area of a distribution is two-sided and tests whether a sample is either greater than or less than a range of values.

Null Hypothesis

A theory proposing that there's no meaningful statistical distinction between the two variables under consideration in the hypothesis.

Rejection Region

The area in a statistical test's distribution which, if the test statistic falls within, leads to the rejection of the null hypothesis.

Standard Deviation

An index showing the degree of spread or deviation from the mean within a data collection.