Which of the Following Is a Condition Which Must Be

question 6

Multiple Choice

Which of the following is a condition which must be satisfied to demonstrate a causal relationship:

• A) treatment variable changes occur prior to changes in the dependent variable
• B) the treatment and dependent variables are associated
• C) only the treatment variable has influenced the dependent variable
• D) all of the above

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Definitions:

Open Market Operations

The actions of central banks in purchasing and selling government securities with the aim of regulating the money supply and managing interest rates.

Comptroller of the Currency

This is a government official responsible for overseeing the federal banking system and ensuring the stability and compliance of national banks.

Lender of Last Resort

A lender of last resort is an institution, usually a country's central bank, that offers loans to banks or other eligible institutions that are experiencing financial difficulty or are considered highly risky.

Federal Reserve

The central banking system of the United States, which regulates banks, manages the country's money supply, and aims to ensure financial stability.