If We Want to Measure the Seasonal Variations on Stock

question 93

Multiple Choice

If we want to measure the seasonal variations on stock market performance by quarter,we would need:

• A)4 indicator variables
• B)3 indicator variables
• C)2 indicator variables
• D)1 indicator variable

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Definitions:

Independent Variable

The variable that is intentionally changed by the researcher in an experiment to see if it produces an effect.

Internal Validity

Refers to how well a study is conducted, specifically whether it establishes a causal relationship between variables.

Causal Relationship

A connection between variables where a change in one directly influences the change in another.

Length Of Test

The duration or number of items that constitute a test, influencing factors such as assessment fatigue and comprehensiveness of evaluation.