If a Pattern Appears When a Dependent Variable Is Plotted

question 96

True/False

If a pattern appears when a dependent variable is plotted against time, one should use time series analysis instead of regression analysis.

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Definitions:

Constant Returns To Scale

Constant returns to scale occur when a proportional increase in all inputs leads to an equal proportional increase in output, implying efficiency in production.

Human Capital

Abilities, insights, and practice held by a person or community, seen through the lens of their contribution or expenditure to a corporation or state.

Physical Capital

Tangible assets that are used in the production process, such as machinery, buildings, and equipment.

Technology

The application of scientific knowledge for practical purposes, especially in industry, where it affects methods of production, communication, and transportation.