A Correlation Coefficient Shows That Smoking and Life Expectancy Are

question 239

Multiple Choice

A correlation coefficient shows that smoking and life expectancy are indeed related. As a result, a researcher could predict that __________ if the direction of the relationship is known.

• A) if a person smokes a lot of cigarettes, he or she will have less money monthly to buy gas
• B) the person's life expectancy will go up or down based on the number of cigarettes the person smokes daily
• C) if a person smokes cigarettes, he or she will eventually develop lung cancer
• D) a person's lungs will repair themselves and he or she will live a longer life

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Definitions:

Prospect Theory

Prospect theory is a behavioral economic theory that describes how people choose between probabilistic alternatives that involve risk, where the probabilities of outcomes are known.

Neoclassical Economics

An economic theory that focuses on how consumer demand and production costs influence price, output, and income distribution in markets.

Behavioral Economics

A field of study that examines how psychological, cognitive, emotional, cultural, and social factors affect the economic decisions of individuals and institutions.

Rational Decision Making

A process of making choices that are logically consistent and aim at maximizing an individual's self-interest.