A Researcher Is Studying the Effect of 10 Different Variables

question 22

Multiple Choice

A researcher is studying the effect of 10 different variables on a critical measure of business performance. A multiple regression analysis including all 10 variables is performed. What criterion could be used to eliminate 1 of the 10 variables?

• A)Multiple R²
• B)Largest p-value
• C)Smallest p-value
• D)Smallest regression coefficient

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Definitions:

Equilibrium Price

The price at which the quantity of goods demanded equals the quantity of goods supplied, resulting in a stable market condition.

Import Competition

The competition that domestic firms encounter from the products and services of foreign producers.

Trade Barriers

Regulations or policies implemented by countries to control the import and export of goods and services.

Import Quotas

Limits set by a government on the quantity or value of certain goods that can be imported into a country.