What Is the Most Important Characteristic of a Correlation Coefficient

question 21

Multiple Choice

What is the most important characteristic of a correlation coefficient?

• A) Sign
• B) Absolute value
• C) One-tailed
• D) Two-tailed

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Definitions:

Net Increase

The difference resulting from the amount by which something grows or goes up less any decreases.

Units of X

A measure or quantity of a specific good or product, referred to as 'X' in an economic or mathematical context.

Consumer's Surplus

The difference between the total amount that consumers are willing and able to pay for a good or service versus the total amount that they actually pay.

Excess Demand

A situation where the quantity demanded of a good exceeds the quantity supplied at the current price.