A Chi-Square Test for Goodness of Fit Has Df =

question 75

Multiple Choice

A chi-square test for goodness of fit has df = 2.How many categories were used to classify the individuals in the sample?​

• A)​two
• B)​three
• C)​four
• D)​five

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Definitions:

Substitution Effect

The substitution effect occurs when consumers replace cheaper items for more expensive goods due to changes in relative prices, holding utility constant.

Slutsky Compensated Demand Curve

Represents consumer demand by adjusting for changes in purchasing power, illustrating how quantity demanded varies with price, holding utility constant.

Ordinary Demand Curve

A graphical representation showing the relationship between the price of a good and the quantity demanded, with all other factors being held constant.

Price Elasticity

A measure of how much the quantity demanded of a good responds to a change in the price of that good, reflecting consumers' sensitivity to price changes.