IS Curve Exogenous Variables and Parameters

question 20

Multiple Choice

IS Curve Exogenous Variables and Parameters
Table 1
-Given the values in the table above,the real interest rate r = ________ when equilibrium output Y = 15.

• A)9.8
• B)3.8
• C)3.18
• D)10
• E)none of the above

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Definitions:

Dependent Variable

In research and experiments, it is the outcome factor that is measured to see if it changes as a result of the manipulation of the independent variable.

Experimental Research

A systematic and scientific approach to research in which the researcher manipulates one or more variables to determine their effect on a certain outcome.

Confounding Variables

Factors other than the independent variable that might influence the outcome of an experiment, making it difficult to isolate the effect of the independent variable.

Random Allocation

A method used in experiments where participants are assigned to different groups in a way that ensures each participant has an equal chance of being placed in any group.