If a Test Is Valid, the Scores Predict Other Kinds

question 147

Multiple Choice

If a test is valid, the scores predict other kinds of performance that we care about. For example,

• A) scores on an IQ test should predict success in relationships.
• B) scores on a personality inventory should predict grades in school.
• C) scores on an IQ test should predict success in school.
• D) scores on a personality test should predict success in different job tasks.

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Definitions:

Economies of Scale

Cost advantages that enterprises obtain due to their scale of operation, with cost per unit of output generally decreasing with increasing scale.

Undifferentiated Products

Goods or services that are viewed as interchangeable with others in the market, lacking distinct features to stand out from competitors.

High Switching Costs

High switching costs are barriers that prevent customers from changing products or services, due to financial, emotional, time-related, or effort-based factors.

Complex Backward Integration

A strategy where a company expands its role to fulfill tasks formerly completed by businesses up the supply chain, but with more intricate and multifaceted connections or processes.