If Bad Drivers Can Usually Avoid Being Ticketed by the Police,then

question 68

Multiple Choice

If bad drivers can usually avoid being ticketed by the police,then insurance companies will

• A) use one's driving record as a signal.
• B) use one's driving record as a screening device.
• C) not be able to use one's driving record as a screening device.
• D) request driving records directly from the police and not from the individual applicant.

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Definitions:

Nominal Levels

The simplest form of categorization of data without any order or rank among the categories, where numbers serve merely as labels.

Mutually Exclusive

Events or conditions that cannot occur at the same time.

Underlying Continuum

An uninterrupted sequence or range in which items change gradually from one condition, form, or level to another, and are not perceived as discrete steps.

Nominal Level

The most basic level of measurement that categorizes data without implying any quantitative order or degree of difference between the categories.