When Is the T Distribution Used Instead of the Z

question 48

Multiple Choice

When is the t distribution used instead of the Z distribution to test the significance of the difference between two sample means?

• A)never
• B)when sample size is very large
• C)when one sample is much larger than the other
• D)when N is small

Grasp the advantages and disadvantages of using credit.

Implement strategies to avoid credit card fraud.

Comprehend the significance of credit reports and what information they contain.

Understand the criteria used by banks (the 5 Cs of credit) to evaluate creditworthiness.

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Definitions:

Potential Level

The potential level of output, or potential GDP, is the maximum amount of goods and services an economy can produce when it is fully utilizing its resources, without causing inflation to rise.

Fixed-growth-rate Monetary Policy

A monetary policy framework aiming to maintain a predetermined rate of growth in the money supply.

Active Fiscal Policy

Government policy that involves altering government spending and taxation to influence the economy.

Short-run Phillips Curve

An economic model depicting an inverse relationship between the rate of unemployment and the rate of inflation in the short-term.