If the Correlation of Variables Is Close to 0,then We

question 3

Multiple Choice

If the correlation of variables is close to 0,then we expect to see

• A) an upward sloping cluster of points on the scatterplot
• B) a downward sloping cluster of points on the scatterplot
• C) a cluster of points around a trendline on the scatterplot
• D) a cluster of points with no apparent relationship on the scatterplot
• E) no explanation of what the scatterplot should look like based on the correlation

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Definitions:

Social Insurance Taxes

Taxes collected from employees and employers to fund government social insurance programs, such as Social Security and Medicare.

Social Security

A government program that provides financial assistance to people who are retired, disabled, or survivors of deceased workers, funded through payroll taxes.

Medicare

A federal health insurance program in the United States for people who are 65 or older, certain younger people with disabilities, and people with End-Stage Renal Disease.

Payroll Tax

Taxes imposed on employers or employees, and are usually calculated as a percentage of the salaries that employers pay their staff.