The Standard Error of Estimate Is Equal to the Standard

question 91

Multiple Choice

The standard error of estimate is equal to the standard deviation of Y scores when the

• A) correlation between X and Y = 0.
• B) correlation between X and Y = 1.0.
• C) mean on X is equal to the mean on Y.
• D) standard deviation of X is equal to the standard deviation of Y.
• E) distributions of X and Y are normal.

---

Definitions:

Equation of Exchange

An economic formula representing the relationship between money supply, velocity of money, price level, and an economy's output of goods and services.

Economic Problems

Issues arising from the allocation of scarce resources among competing uses, leading to questions of what, how, and for whom to produce.

Velocity of Money

The rate at which money circulates or turns over in an economy in a given period of time, used as an indicator of economic activity.

Transactions Demand

The demand for money as a medium of exchange, reflecting the need for cash or liquid assets to carry out daily transactions.