This Graph Shows Three Different Budget Constraints: A,B,and C

question 17

Multiple Choice

This graph shows three different budget constraints: A,B,and C. If Bart has budget constraint A in the graph shown,what would cause his budget constraint to shift to B?

• A)Bart's income has decreased.
• B)The price of soda has increased.
• C)The price of soda has decreased.
• D)The price of milk has increased.

---

Definitions:

Adjusted R Square

A statistical measure that indicates the proportion of variance in the dependent variable that is predictable from the independent variables, adjusted for the number of predictors in the model.

Parsimony Principle

The Parsimony Principle, often used in scientific research, is the idea that the simplest explanation is usually correct, encouraging minimal assumptions.

Independent Variables

Variables in a statistical model that are manipulated or categorised to determine their effect on dependent variables.

Multicollinearity

A statistical phenomenon where two or more predictor variables in a multiple regression model are highly correlated, potentially distorting estimates and making the model unreliable.